About This ReportMessage from the ChairmanAbout Shuangliang Eco-energy

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CONTENTS

Standardize the Governance StructureFul?ll the Information DisclosureEnsure Compliance with Laws andRegulations, and Observe Business Ethics

Consolidate theFoundation andPut GovernanceFirst

EmploymentEmployee Compensation and WelfareEmployee TrainingEmployee Health and SafetyEmployee Support Activities

Join Hands withEmployees forMutual Growthand Progress

Manage and Assure QualityPut Customer First, and Focus on ServiceAdhere to Scienti?c Research andInnovation for High-Quality Development

InnovateProductsand DevelopTechnology

Environmental Protection andSustainable DevelopmentEnvironmental Management - Builda Green EnterprisePollution Control - Safeguard OurGreen Earth

EnvironmentalProtection andSustainableDevelopment

Supply Chain ManagementIndustry-Academia-ResearchCooperation Joint Progresswith Peers

Work withPartners forMutual Bene?tsand Win-winResults

Blood Donation for Public WelfareCommunity Building and Service

Show Love andTake SocialResponsibility

About This Report

This Report aims to disclose the practice and performance of Shuangliang Eco-energy Systems Co., Ltd. (stock code: 600481)in environmental, social and governance (ESG) for 2023 to stakeholders including the government and regulatory agencies,shareholders and investors, customers, suppliers and industries, employees, and the public.

This Report is an annual report, covering the period from January 1, 2023 to December 31, 2023, with some content takenbackward or going beyond the above span to enhance its comparability and completeness.Timeframe

This Report incorporates Shuangliang Eco-energy Systems Co., Ltd. and its subsidiaries. For convenience, "Shuangliang Eco-energy Systems Co., Ltd." is also hereinafter referred to as "Shuangliang Eco-energy", the "Company" or "We". The names andabbreviations of the subsidiaries are explained in the text respectively.Reporting Entities

The data and cases used in this Report come from the original internal ledger of Shuangliang Eco-energy, relevant statistics andrecords of the Company's actual operation, policy documents, prospectus, etc. The ?nancial data herein are all in RMB.Data Source and Description

Sustainable Development Goals (SDGs) in 2030, issued by the United NationsThe Ten Principles of the Global Compact, issued by the United NationsGRI Standards, issued by the Global Commission on Standards for Sustainable DevelopmentISO 26000 - Guidance on Social Responsibility (2010), issued by International Standardization OrganizationGuidelines on Corporate Social Responsibility Reporting for Chinese Enterprises (CASS-ESG5.0), issued by the Chinese Academy ofSocial SciencesGuidelines on Corporate Social Responsibility Reporting (GB/T36001-2015), CNSGuidelines on Environmental Information Disclosure of Listed Companies in Shanghai Stock ExchangeSelf Regulatory Guidelines for Listed Companies in Shanghai Stock Exchange

Basis of Preparation

Shuangliang Eco-energy undertakes that this Report is free from any misrepresentation, misleading statement or materialomission, and will be liable for the authenticity, accuracy and completeness of the content herein.Reliability Assurance

The electronic version of this Report may be downloaded from such platforms as the o?cial website of Shuangliang Eco-energy(https://www.shuangliang.com/) and the o?cial website of Shanghai Stock Exchange. The Report is written in both Chinese andEnglish. In case of any ambiguity between the two language versions, the Chinese version shall prevail.Access to the Report

Address: No. 88 Xili Road, Ligang Town, Jiangyin, Wuxi City, Jiangsu ProvinceTelephone：0510-86632358Fax: 0510-86631333Postcode: 214444Email:600481@shuangliang.com

Contact

Message from the Chairman

With our e?orts to improve our industrial layout, Baotou New Energy Photovoltaic Industrial Park hasbeen fully completed, which brings an output of 100GW monocrystalline silicon materials and a 20GW(Phase I) photovoltaic module industry chain, making it a benchmark digital factory of speed in Baotou.This shows our leading pace and strength in the ?eld of new energy. Setting an example for the industry,we not only actively make for the promotion of the economy, but also help drive the transformation andupgrading of the energy structure, thereby achieving sustainable development and making importantcontributions to China's green energy industry.Our new generation JSDJ S1-Series alkaline water electrolyzer sees a breakthrough innovation, withinternationally advanced performance as appraised by the Industry and Information TechnologyDepartment of Jiangsu, which has caused a sensation in the industry and attracted many state-ownedand central enterprises after launching. Meanwhile, the energy and water-saving industrial circulatingwater system innovatively developed by us has been successfully selected as a nationally encouragedproject, establishing its promotion value in the industry. With outstanding quality, in addition to winningthe "Wuxi Mayor Quality Award", we also received the "Jiangsu Provincial Governor Quality Award", thehighest quality award established by the provincial government.Nowadays are witnessing an unprecedented reform of the world, the times, and the technologies. Riskand opportunity coexist. When there is a challenge, there is a chance. The more di?culties we face, themore we need to maintain composure and con?dence. On the rugged and sweaty road ahead of us, wekeep working together towards glorious success. Since listing on the Shanghai Stock Exchange in April2003, in recent years, Shuangliang Eco-energy has completed an A-share private placement for RMB3.488billion and a convertible bond financing of RMB2.6 billion, greatly helping develop the industry withstrong capital support.At Shuangliang Eco-energy, we ?rmly believe in the imperative of continual evolution to remain relevantin a rapidly changing world. The life of an enterprise will be renewed and continued through the changein interaction with the environment. In this belief, bearing in mind our strategic focus, we step up amidsttwists and turns under the unyielding entrepreneurial spirit to promote the healthy, stable, sustainable,and high-quality development of the enterprise.

2023 Environmental, Social and Governance (ESG) Report04Shuangliang Eco-energy Systems Co., Ltd.03

Chairman of Shuangliang Eco-energy

Miao Wenbin

About Shuangliang Eco-energy

Established in 1995, Shuangliang Eco-energy Systems Co., Ltd. ("Shuangliang Eco-energy", stock code: 600481) has always beeneco-friendly and innovative, committed to becoming a digitally-driven and full-life-cycle carbon neutral solution provider with corecompetitiveness in such ?elds as energy saving, water saving and clean energy.Adhering to promoting the clean energy revolution through digital and service-oriented intelligent manufacturing, the Companyhas formed a photovoltaic industry chain of polysilicon core equipment, monocrystalline silicon materials and battery modules,while accumulating great power in technology R&D and equipment production for clean energy such as geothermal energy,hydrogen energy, green electricity and energy storage, to help realize the "dual-carbon" goal with digital-driven carbon neutralcomprehensive services.

Shuangliang Eco-energy Systems Co., Ltd.

Company Pro?le

The Company mainly engages in, among others, energy-saving and water-saving equipment systems as well as photovoltaicnew energy systems. In the realm of energy saving and water saving, our lithium bromide cooling and heating units andair cooled system products are in a leading position in the industry, while the efficient heat exchanger products maintainthe ?rst market share in the air separation ?eld. In terms of photovoltaic new energy, leveraging years of our accumulationin photovoltaic technology, business experience and industry resources, etc., we vigorously expand our photovoltaicmonocrystalline silicon business, successfully establishing our market position and image in the photovoltaic monocrystallinesilicon industry chain with excellent product quality and a large number of good orders.In 2023, in response to the national goal of "carbon neutral" and the global energy transition, we independently researchedand developed the Shuangliang Green Electricity Intelligent Hydrogen Production Equipment, dedicating ourselves to R&Dand innovation in the ?eld of hydrogen energy, and joined hands with peers to promote the construction of a comprehensivehydrogen application ecological chain for boosting the sustainable and high-quality development of the hydrogen industryand the green transformation of the energy structure.

Main Business

Business SegmentsMain ProductsMain Uses

06Shuangliang Eco-energy Systems Co., Ltd.052023 Environmental, Social and Governance (ESG) Report

Energy-saving andwater-saving equipment

Lithium bromide chiller units andheat pumps, electric heating pumps,electric refrigeration systems, heatexchangers, air-cooled systems, etc.

They are used in thermal power, coal chemicalindustry, biochemical industry, brewing,metallurgy, water treatment, steel, petrochemicalre?ning, textile, clean heat supply, air separation,polysilicon production, and other industrial ?elds

New energy equipment

Polysilicon reduction furnaces andtheir modules, green electricityintelligent hydrogen productionsystems

They are used for the upstream of thephotovoltaic industry and hydrogen energyindustry

Photovoltaic

Large-size monocrystalline siliconrods, silicon wafers, high-e?ciencyphotovoltaic modules, etc.

They are used for the production of photovoltaiccells and the construction of downstreamphotovoltaic power stations in the photovoltaicindustry

Global Presence

America

AfricaEuropeSpainItalyCyprusSwitzerlandGermanyPolandHungaryTürkiyeUkraine

DenmarkBelarus

Egypt

Tunisia

Algeria

Cote d'Ivoire

Ghana

Nigeria

Sudan

South Africa

Chad

Asia-Paci?cChinaSouth KoreaPhilippinesVietnamPakistanBengal

MyanmarThailandMalaysiaSingapore

IndonesiaAustralia

Sri LankaIndiaDubai QatarUAESaudi Arabia

Trinidad and TobagoDominican RepublicMexicoUnited StatesCanadaVenezuelaColombiaBrazilSouth America

North America

ChileArgentina

ShuangliangHeadquarters

Milestones

2023 Environmental, Social and Governance (ESG) Report10Shuangliang Eco-energy Systems Co., Ltd.09

The Company's core teamstarted the business.1982

The Company establishedJiangyin Lithium BromideChiller Factory and producedthe ?rst bromine chiller.

1985

The Company participated indrafting China National andIndustry Standards for LithiumBromide Chillers.

1992

Shuangliang's technologycenter was recognized asa China National LevelTechnology Center.

1994

The Company was formallyestablished.1995

The Company was selected for"China's Best 10 MechanicalEnterprises".The Company was awarded thetitle of "China Top Ten Enterprisesin High-quality Products After-salesService Industry".

2004

The Company was listed in "2006China Top 50 Private Enterprises forIndependent Innovation Capability".

2006

The Company was awarded the title of"Leader of China's Industrial Sector".

2007

The Company won the "OutstandingContribution Award for SafeguardOlympics".2008

The Company was listed in "ChinaIn?uential Energy-Saving RenovationEnterprise".The Company was listed in "China Top100 Listed Private Enterprises".

2009

2011

The Company was awarded the"Meritorious Enterprise for EquipmentChina".

The Company was recognized as a"Chinese Industrial DemonstrationEnterprise".Shuangliang Eco-energy SystemsCo., Ltd. won the "Enterprise Awardof the 4th China Grand Awards forIndustry".

2016

2017

The Company was awardedas China's "Service-OrientedManufacturing DemonstrationEnterprise".The lithium bromide unit washonored as the "Single Champion"product of China's manufacturingindustry.

2018

The Company was selected for theFirst Batch of Industrial InternetDevelopment DemonstrationEnterprises in Jiangsu Province(Five-star Cloud Enterprises)

2019

The Company won the "2019China Electric Power Science andTechnology Progress Award".

2020

The "Intelligent All-steel StructureIndirect Air Cooling System" of theCompany won the "Project Awardof the 6th China Grand Awards forIndustry".2021

A new photovoltaic energyindustrial park was built in Baotouto lay out an industry chainfor large-size monocrystallinesilicon wafers and high-e?ciencyphotovoltaic modules, and aclean energy production base wasbuilt in Jiangyin to develop coreequipment for polycrystallinesilicon and green electricityintelligent hydrogen productionsystem, creating a core advantagein photovoltaic energy andhydrogen storage.

2022

Shuangliang Shuanghui (Shanghai)Industrial Co., Ltd. was establishedto create an international salesplatform.

2023

The Company celebrated the 20thanniversary of its listing.Shuangliang' s new product forthe JSDJ S1-Series alkaline waterelectrolyzer was released.

2000The Company was recognizedby the Ministry of Science andTechnology of China as a "NationalHigh-tech Enterprise".The Company was selected for"China's Top Ten OutstandingEnterprises for Machinery".

On April 20, the then-currentGeneral Secretary visitedShuangliang Eco-energy.The Company's product washonored as the "National Key NewProduct".

1998

2001

"Shuangliang Eco-energyPostdoctoral Programme" wasset up with the approval by theMinistry of Human Resources andSocial Security of the PRC.The Company was recognized asthe "Most Satis?ed Enterprise" inChina.

2002

The trademark of the Companywas recognized as the "China Well-known Trademark".The Company was recognized asone of the "Top 100 Enterprises inChina's Machinery Industry".

2003

The Company was listed on theShanghai Stock ExchangeThe Company was honored as"China's Top 100 Enterprises inCompetitiveness of IndependentIntellectual Property Rights".The lithium bromide product wonthe title of "China Famous Brand".

With corporate spirit as its common belief and driving force, Shuangliang Eco-energy sticks to its "customer-centric" core value,continuously improving the quality of products and services under the support of technological innovation, towards a win-winresult and development. Based on its development strategy and vision, the Company hammers away at becoming a leader in theindustry, to create greater value for employees, customers, and society.

CorporateSpirit

Learning to Forge Aheadand Creating for Eternity

DevelopmentStrategy

Diversi?ed Investment,Specialized Operation, andRigorous Management

Core ValueCustomer-centricVision

Healthy Shuangliang,International Shuangliang,and Always Being aRespected Group

2023 Highlights

Shuangliang Eco-energy upholds the vision of "Healthy Shuangliang, International Shuangliang, and Always Being a RespectedGroup". To pursue a high-quality development goal, we have established strategic cooperation with multiple partners to achieve "awin-win future, a strong alliance, and a 3060 dual-carbon new ecology", for further eco-friendly growth.

February

A strategic cooperation agreement was signed with Huaneng Renewables CorporationLimited Mengdong Branch to establish a strategic partnership in the ?elds of new energywind power, photovoltaics and energy storage, etc.AprilThe Company ushered in its 20th anniversary of listing on the Shanghai Stock Exchange.May

A strategic cooperation agreement was signed with Baogang Group Energy Conservationand Environmental Protection Technology Industry Company.

July

Strategic cooperation was established with the Guangzhou Institute of Energy Conversion,and Chinese Academy of Sciences on liquid cooled energy storage, for joint developmentof high-power and efficient liquid cooled energy storage systems using both sides'respective advantages.A strategic cooperation agreement was reached with Wuhan Longking EnvironmentalProtection Technology Co., Ltd. whereby to establish a long-term and stable strategicpartnership in areas such as waste heat utilization and intelligent energy.September

Strategic cooperation was reached with SINOPEC Nanjing Chemical Industries Corporationon innovative technology, product development, and application collaboration.The o?ering of convertible corporate bonds for RMB2.6 billion recorded a success.October

The Company was awarded the "2023 Outstanding Supplier Honor" by Moutai Group. Itis the only enterprise as an equipment chain supplier in the history of Moutai Group to beselected as a strategic supply partner of such group.Shuangliang's new product for the JSDJ S1-Series alkaline water electrolyzer was released.

Month2023 Highlights

Corporate CultureDevelopment in 2023

Shuangliang Eco-energy is committed to forming core competitiveness in the field of digital and service-oriented intelligentmanufacturing for energy saving, water saving, and photovoltaic new energy. In 2023, the Company gained various honors andawards. In the future, it will continue to move forward on a "carbon" path with a positive outlook, injecting new impetus intopromoting energy structure transformation and social green development.

JIANGSU FAMOUS EXPORTBRAND

Department of Commerce ofJiangsu Province

Green Factory in JiangsuProvince(Batch 4)

Industry and InformationTechnology Department ofJiangsu

Jiangsu ProvincialGovernor Quality Award

People's Government ofJiangsu Province

Outstanding ListedCompany for 2021-2023

People's Government ofJiangyin City

Standards Drafting Unitof General Rules for GreenEnterprises Evaluation(T/CIET237-2023)

Standardization WorkingCommittee of ChinaAssociation for PromotingInternational Economic &Technical Cooperation

Award/Honor TitleGranted ByPictureAward/Honor TitleGranted ByPicture

Director Member of theHydrogen and EnergyStorage ProfessionalCommittee

Wuxi Branch of ChinaInternational Chamber ofCommerce

Outstanding EnterpriseAward for Contribution toCarbon Neutrality

Carbon Neutrality Committeeof China Energy ConservationAssociation

Outstanding Brand ofListed Companies in 2023

China Times

ESG Gold Jasmine AwardXinhua Daily

Honors and Awards in 2023

Shuangliang Eco-energy takes "saving energy, improving the environment of human beings, and enhancing the quality of humanlife" as its corporate mission, in line with the environmental, social and governance (ESG) concept. In recent years, the Company hasoptimized and upgraded its corporate social responsibility management, forming an e?ective ESG working mechanism in practice.

Company ESG Management Architecture

Review and approve theCompany's ESG goals andstrategic plans, ESG governancestructure, and ESG reports, etc.

Research and draft theCompany's ESG strategies andaction plansOrganize the development of theCompany's ESG work plansCoordinate and promote theimplementation of ESG-relatedmattersOrganize the preparation of ESGreports, etc.

Follow up on, manage, compileand summarize the ESG goalsset, and report to the Strategyand ESG Committee of theBoard of Directors accordingly

Strategy and ESG Committee of the Board of Directors

ESG Coordination and

Promotion O?ce

ESG Management

In order to further promote the Company's ESG management level, improve the ESG management system, and enhance the ESGmanagement capabilities, upon deliberation and approval by the Company's Board of Directors, the "Strategy Committee of theBoard of Directors" was renamed as the "Strategy and ESG Committee of the Board of Directors", with ESG work responsibilitiesadded on the basis of the original responsibilities and the rules of procedure formulated accordingly.Guide and develop theCompany's ESG vision, goal,strategy and architectureto ensure they meet theCompany's needs andcomply with applicablelaws, regulations, regulatoryrequirements, andinternational standards

Monitor the channels andmethods of communicationwith the Company'sstakeholders, and ensurethat relevant policies havebeen formulated to e?ectivelypromote the relationshipbetween the Company and itsstakeholders and protect theCompany's reputation

Monitor the developmentand implementation of theCompany's ESG vision, strategyand architecture, includingsetting ESG managementperformance goals for theCompany and reviewingprogress in implementingsuch goals, and providingrecommendations forimproving performance

Review the Company's ESG-related policies and ensuretheir applicability andcompliance with internationalESG standards

Identify and prioritizematerial ESG risk issues forthe Company, and providerecommendations to theBoard of Directors

Review the Company's ESGreport and other disclosuresrelated to ESG, and makerecommendations to the Boardof Directors to maintain thecompleteness thereof

Study the main ESGtrends, related risksand opportunities, andevaluate the adequacyand e?ectiveness of theCompany's ESG architectureaccordingly

Ful?ll other ESG-relatedresponsibilities granted bythe Board of Directors

Main Additional ESG Work Responsibilitiesof the Company's Strategy and ESG Committee

Functional Departments

and Units

2023 Environmental, Social and Governance (ESG) Report16Shuangliang Eco-energy Systems Co., Ltd.15

The participation of stakeholders plays an important part in promoting the Company's ESG management. Attaching greatimportance to communication with stakeholders, we have built a diversi?ed communication mechanism, actively knowing thestakeholders' expectations and suggestions for our ESG work through various communication channels. In this connection, keystakeholders are identi?ed based on our business characteristics, including employees, customers, investors, government andregulatory agencies, media, industry associations, partner organizations, and suppliers/service providers.

StakeholdersIssues of ConcernCommunication Methods

Compensation and welfareHealth and safetyTraining and developmentEmployee rights and interestsDiversity and equality

Meeting diverse needsEnsuring product qualityProviding high-quality services

Stable operationSustainable developmentStandardized governanceInformation transparency

Various training and activitiesCommunication platforms such asemail and WeChatEmployee Reception DayReception O?ce for Letters, Visitsand ReportsCompany UnionEmployee Representative AssemblyEmployee satisfaction surveyGeneral Manager Mailbox

General Meeting of ShareholdersInformation disclosurePerformance brie?ngRoadshow

Customer researchMeeting exchangeDeveloping new productsEstablishing product qualitycontrol processesCustomer satisfaction survey

Anti-corruption and anti-briberyLaws and regulationscomplianceTax complianceEconomic developmentSocial welfare

Business ethicsInformation transparencySocial welfare

Business ethicsInformation transparency

Business ethicsInformation transparency

Exchange and mutual visitO?cial correspondenceInformation disclosurePolicy implementation

Exchange and mutual visitIndustry forumWorkshopVisit and exchangeRoadshow

Supplier evaluationCommunication andexchange meeting

Government andregulatory agenciesEmployeesCustomers

Material Issues

Communication with Stakeholders

InvestorsMediaIndustry associations

Suppliers/serviceproviders

To determine the focus of our ESG work, we have analyzed material ESG issues based on communication with various stakeholders. Referringto the ESG issues highlighted by MSCI in the mechanical industry, the GRI STANDARDS issued by the Global Sustainability Standards Board(GSSB), and the ESG disclosures made by peers, we had a preliminary screening for material issues, and identified those related to theCompany's impact on the economy, environment, and society, as well as the impact on stakeholder evaluation and decision-making. After that,we sought two-dimensional evaluations from various stakeholders through questionnaires, and obtained the questionnaire results throughthe data from the material issue identi?cation process. Then, by analyzing international and domestic social responsibility standards, nationaland local government policy requirements, and in light of the Company's development strategy and planning, we ranked the importance ofmaterial issues in two dimensions: "importance to stakeholders" and "importance to Shuangliang Eco-energy". Finally, a matrix of material ESGissues was formed, which provides a signi?cant basis for our future ESG management.

Maintain regularcommunication withstakeholders such asinvestors, customers,government regulatoryagencies, andemployees, and recordthe demands of variousstakeholders.

Identify the actual orpotential impact of theCompany on the economy,environment and peoplebased on its activities,business relationshipsand communication withstakeholders; Preliminarilyselect 24 ESG issues byreference to GRI Standardsand other sustainableinformation disclosureguidelines, evaluationsystems such as MSCIESG ratings, and peer ESGdisclosures.

Obtain two-dimensionalevaluations fromstakeholders throughquestionnaire surveys.

Review the completenessand accuracy of thematerial issues bythe Strategy and ESGCommittee of the Boardof Directors basedon the results of thequestionnaire survey, toform the ?nal materialissues matrix.

Material issue identi?cation process

Communicationwith Stakeholders

Issues Identi?cation Issues EvaluationIssues Result

Through the above process, we formed a material issues matrix, as follows:

Importance to stakeholders

Importance to Shuangliang Eco-energy

Material Issues Matrix

Material issues

Pro?tabilityLeading industrydevelopmentModern industrialsystem construction

Renewable energy opportunitiesClean technology opportunitiesEnvironmental managementsystemEnvironmental emergencyresponse managementEnvironmental emergency Wastedischarge managementIntegrated energy management

Product qualityR&D and InnovationCustomer serviceData and privacy securityLabor managementEmployee developmentand trainingSupply chain management

Business ethicsCompliance with lawsand regulationsCorporate governanceRisk managementInformation safetyInvestor rightsParty-building guidanceDigitalization andinformatizationconstructionBusiness operation

EnvironmentBusiness operationSocietyCorporate governance

Material Issues Analysis

Consolidate theFoundation andPut GovernanceFirst

To consolidate its foundation for high-qualitydevelopment, and continuously improve its governancelevel, Shuangliang Eco-energy has established a soundorganizational structure, under which rights andresponsibilities are well defined to enhance resourceallocation capabilities; and the operation of the "ThreeBoards" is properly regulated to enhance governancecapabilities, Besides, the Company has strengthenedcompliance management and business ethicssupervision, to establish a law-abiding, responsible, andrespected corporate image. Meanwhile, it has strictlyperformed the information disclosure obligations oflisted companies, and stepped up communication andexchange with investors, to effectively protect theirlegitimate rights and interests.Standardize the Governance Structure and Consolidate theFoundation of DevelopmentFul?ll the Information Disclosure Obligations and Maintain Investor RelationsEnsure Compliance with Laws and Regulations, and Observe Business Ethics

Shuangliang Crystal Silicon New Material (Baotou) Co., Ltd.

Standardize the Governance Structure andConsolidate the Foundation of Development

Organizational Structure

Shuangliang Eco-energy has established a sound internal organizational structure to enhance resource allocation and decision-making e?ciency,while making e?orts to ensure the standardized operation of the General Meeting of Shareholders, the Board of Directors and Board of Supervisorsunder the Three-Board system to promote governance e?ciency of it as a listed company.Bearing in mind a good organizational structure is conducive to promoting efficient governance, the Company has established and keepsimproving its organizational structure, with functional departments, division of responsibilities, communication and collaboration, and powerrelationships, etc. well de?ned, to help it clarify goals, optimize resources, coordinate relationships and adapt to changes at di?erent stages ofdevelopment, thereby upgrading its governance.

Shuangliang Eco-energy Organizational Chart

Board ofSupervisors

Board ofDirectors

Secretary of theBoard of Directors

Strategy and ESG CommitteeNomination CommitteeCompensationand Assessment CommitteeAudit CommitteeManager Representative

GeneralManager

Key AccountManagementCenter

Audit DepartmentEnterprise Management DepartmentLegal Inspection DepartmentEquipment DepartmentQuality Inspection DepartmentProcurement DepartmentSecurity DepartmentLogistic DivisionDigital CenterHuman Resources DepartmentComprehensive Management DepartmentMarketing DepartmentFinance DepartmentTechnology CenterLow Carbon Research InstituteBromine Chiller Division

Technical Service Branch of Shuangliang Eco-energySystems Co., Ltd

Jiangsu Shuangliang Cooling System Co., Ltd.……Jiangsu Shuangliang Low Carbon IndustryTechnology Research Institute Co., Ltd.

Heat Exchanger Division

Jiangsu Shuangliang New Energy Equipment Co., Ltd.Jiangyin Tuteng New Energy Technology Co., Ltd.Shuangliang Shuanghui (Shanghai) Industrial Co., Ltd.Shuangliang Silicon Material (Baotou) Co., Ltd.Shuangliang Solar-Tech (Baotou) Co., Ltd.Jiangsu Hydrogen Energy Technology Co., Ltd.

Sales Branch of Shuangliang Eco-energy Systems Co., Ltd

General Meeting ofShareholders

Three-Board OperationIn accordance with theCompany Law of the People's Republic of China, theCode of Governancefor Listed Companies, theGuidelines for the Bylaws of Listed Companiesand other relevant lawsand regulations, Shuangliang Eco-energy has formulated theArticles of Association, establisheda Three-Board system comprising the General Meeting of Shareholders, the Board of Directorsand the Board of Supervisors with well-de?ned responsibilities, and built various mechanismsfor election, convening and voting, etc. as support. In 2023, the Three-Board system ran well,providing su?cient guarantees for the high-quality operation of the Company.

Professionalism, Independence and Diversity of the Boardof DirectorsThe Company attaches great importance to the professionalism, independence and diversityconstruction for the Board of Directors, with a view to continuously improving the decision-making quality and efficiency of the Board of Directors, enhancing its supervisory andinnovative capabilities, and promoting the Company's governance level and competitiveness.

Current Status of the Professionalism, Independence and Diversity of the Board of Directors

Composition

of the Three Boards

Responsibilities

Board of Directors

Board ofSupervisors

Four committees, namely the Strategy and ESG Committee, the AuditCommittee, the Nomination Committee, and the Compensationand Assessment Committee, are established to assist the Board ofDirectors in making scienti?c and professional decisionsThe Board of Directors includes three independent directors(accounting for 37.5%)The Chairman and the General Manager are separatedMost members of the Board of Directors do not concurrently holdmanagement positionsIndependence

Professionalism

Board members of di?erent age groups are admitted.Directors havedi?erent professional backgrounds in banking, ?nance, mechanicalresearch, enterprise technology innovation management,semiconductor physics and semiconductor device physics, etc.

Diversity

During the reporting period

The Company has held

General Meetingsof Shareholders

with

resolutionspassed

meetings of theBoard of Directors

with

resolutionspassed

and

meetings ofthe Board ofSupervisors

with

resolutionspassed

The Company has held

meetings of the Audit Committee

meeting of the Compensationand Assessment Committee

meetings of the NominationCommittee

The General Meeting of Shareholders is the authority ofthe Company, which exercises the powers and functions ofdeciding on the Company's business policies and investmentplans, electing and replacing directors and supervisors whoare served by non-employee representatives, and decidingon matters related to the remuneration of directors andsupervisors.The Board of Directors is responsible for the General Meetingof Shareholders, which exercises the powers and functionsof implementing resolutions of the General Meeting ofShareholders, deciding on the Company's business andinvestment plans, and formulating annual ?nancial budgetplans and ?nal accounting plans, etc.The Board of Directors has four specialized committees:

Strategy and ESG, Audit, Nomination, and Compensationand Assessment.The Board of Supervisors exercises the powers and functionsof reviewing the Company's periodic reports prepared by theBoard of Directors, providing written review opinions thereon,and inspecting the Company's ?nances, etc.

General Meeting of Shareholders

Election and Appointment of Directors

Compensation Supervision

The Company pursues building a Board of Directors with high governing capacity ande?ciency, while laying emphasis on safeguarding the legitimate rights and interestsof shareholders and the Company's reputation. To this end, a corresponding directornomination and election mechanism has been established whereby to elect directorsin a scienti?c and regulated manner. During the reporting period, 1 executive directorof the Company resigned for personal reasons, and 1 executive director was newlyelected by the Company through legal procedures.

The Compensation and Assessment Committee under the Board of Directors of the Companyevaluates the responsibilities, abilities, and work performances of directors and o?cers annually,and puts forward corresponding suggestions on compensation, which will be submitted tothe Board of Directors and the General Meeting of Shareholders for deliberation. Valuing thetransparency of compensation for directors and o?cers, the Company discloses the changes inshareholding and compensation of directors and o?cers every year in its annual report.

Nomination

Election

The Nomination Committee shall propose to the Board of Directors thereplacement and recommendation of new director candidatesDirector candidates should make a written commitment before the GeneralMeeting of Shareholders, agreeing to accept the nomination, undertaking that thepublicly disclosed information of the director candidates is true and complete,and guaranteeing that they will effectively fulfill their duties as directors afterbeing elected

Directors shall be elected or replaced by the General Meeting of Shareholders, witha term of three years. A director may serve a consecutive term upon re-election afterthe expiration of his/her term of o?ceBefore the expiration of a director's term of office, the General Meeting ofShareholders cannot dismiss him/her without causeIf the term of o?ce of a director expires and a new director is not elected in a timelymanner, the original director shall still perform the duties of a director in accordancewith laws, administrative regulations, departmental rules, and the provisions of theArticles of Association before the newly elected director takes o?ceA director may be concurrently held by the general manager or other seniorofficer, provided that the total number of directors who concurrently hold theposition of general manager or other senior o?cer and directors held by employeerepresentatives shall not exceed half of the total number of directors of the Company

Director nominationand election mechanism

During the reporting period

The Company's Boardof Directors consisted of

directors

independent directors

of whom

were executive directors

During the reporting period

The Company actively interacted with investors, responding to

investor questions through the "SSE E-interactive"platform;holding

performance brie?ng sessions；

and online performance exchange meetings; receiving multiple batches of domestic and foreign securitiestraders, funds and other investment institutions, as well as individual investors, with a total of over

people；In terms of information disclosure, the Company disclosed a total of

announcements throughout the year；getting an

Aas a result of the 2023 information disclosure assessment by the Shanghai Stock Exchange.

Ful?ll the Information Disclosure Obligations andMaintain Investor RelationsShuangliang Eco-energy places great emphasis on safeguarding the legitimate rights and interests of investors. In order to promoteinvestors' understanding and recognition of the Company, and establish a good relationship with investors (and prospectiveinvestors), the Company has formulated a range of systems such as theMeasures for Investor Relations Managementand theRulesfor Investor Reception and Promotion, empowering the Board of Directors to be the decision-making body for investor relationsmanagement, with the chairman being the ?rst person responsible, and the secretary the main person in charge, while setting theboard o?ce as a dedicated department for this work.Moreover, relevant documents including theInformation Disclosure A?airs Management Rules, theRules on Accountability forMaterial Errors in Annual Report Information Disclosure, theInsider Information Management Rules, and theSensitive InformationInvestigation Management Rules, have been developed to enhance the authenticity, accuracy, completeness, and timeliness ofinformation disclosure, thereby improving the quality and transparency of information disclosure.

Investor Communication

Communication withSecurities Regulatory AuthoritiesInformation Disclosure

Communication Channels: SSEE-interactive, SSE performancebrie?ng, performance exchange,telephone, email, message viao?cial website, message viabackstage of Shuangliang Eco-energy's o?cial account, site visitsby research company, etc.Communication Content:

Company's development strategy,business philosophy, businesspurpose; signi?cant informationin business, management andoperation; corporate culture, etc.

Disclosure of Regulatory Situation:

Timely and complete disclosureto investors of the supervisionconducted by regulatory authoritieson the CompanyProactively Solicit, Report andCommunicate: Proactively solicit,report, and communicate withregulatory authorities after thepreparation of new share issuance,changes in the use of funds raised, etc.

Disclosure Channels:

ChinaSecurities Journal, SecuritiesTimes, Shanghai Securities News,o?cial website of Shanghai StockExchangeDisclosure Principles: Compliance,su?ciency, fairness, high e?ciencyand low cost, con?dentiality (fortrade secrets)

Information disclosure and investor communication mechanism

Ensure Compliance with Laws andRegulations, and Observe Business Ethics

Shuangliang Eco-energy strictly complies with laws and regulations, ensuring to maintain going-concern through systematiccompliance management without breaking the law. Meanwhile, the Company is committed to establishing a respectable corporateimage, continuing its e?orts to improve business ethics supervision and management, whilst practicing the concepts of honesty,fairness and responsibility, to maintain a good cooperative relationship with suppliers, employees, customers and other stakeholders.Compliance with Laws and RegulationsTo ensure its lawful and compliant operation, the Company attaches great importance to compliance management with theCompliance Management Rules of Shuangliang Eco-energy Systems Co., Ltd.formulated to fully implement the compliance conceptof viewing compliance as "the bottom line of operation, the source of value creation, and the responsibility of everyone".Compliance Management Organization

The Board of Directors is the highest decision-making body for compliance management, responsible for deliberating and approving theCompany's basic compliance management policies and supervising their implementation. The Board of Directors has a Risk ManagementCommittee responsible for evaluating the effectiveness of the Company's compliance management. In addition, the Company hasestablished a dedicated position of compliance director and a compliance management department, while setting up specialcompliance management positions in various department branches, to be responsible for the daily management of compliance risks.Compliance Management Measures

Various measures, such as compliance risk identi?cation and assessment, compliance consultation and review, compliance training,compliance supervision, inspection and monitoring, and compliance reporting and feedback, have been taken by the Company toensure the orderly implementation and e?ective execution of compliance management.

Operation mechanism of compliance management

Compliance Risk Identi?cation and Assessment

Comprehensively identify and assess compliance risks in all of the Company's business activities, including securities businessbehavior, major decision-making matters, etc., and make risk ratings and corresponding control measures for compliance risks.

Compliance Consultation and Review

The Company's departments and its employees shall seek compliance consultation or compliance review and other compliancesupport for compliance matters in a timely and proactive manner; major business decisions of the Company are subject tocompliance review before being made.

Compliance Supervision, Inspection and Monitoring

The heads of departments are responsible for providing risk information and submitting regular compliance reports to theCompliance Management Department; establishing a compliance supervision mechanism to track, monitor, and supervisesuspected violations or potential risks.

Compliance Reporting and Feedback

Compliance reports include regular compliance reports and irregular compliance reports; for specific compliance matters,compliance management personnel at all levels should, in principle, report to the responsible person in their department or attheir level and to the higher-level compliance management department simultaneously.

Reporting, Accountability, and Performance Evaluation MechanismsTo enhance the attention of all employees to compliance management, the Company has formulated compliance-related reporting,accountability, and performance evaluation systems or mechanisms.

Violation Reporting System

ComplianceAccountability Mechanism

Incorporation intoPerformance Evaluation

Every employee has the rightto report illegal and non-compliant activities

De?ne and implementcompliance responsibilitiesfor personnel at all levels andpositions within the Company,and delineate the proceduresfor investigation, handling andresponsibility determination

Incorporate the e?ectiveness ofcompliance management and theconformity of professional practicesinto the considerations for theperformance evaluation of seniormanagement, various departments,branches, and their sta?

The Company had a legal lecture on anti-fraud and prevention of duty crimesTo strengthen the Company's publicity and education for anti-fraud and prevention of duties crimes, and create a strong ruleof law climate, in April 2023, our Legal Supervision Departmentorganized a lecture on the rule of law in anti-fraud andprevention of duties crimes, with the participants including the?rst-tier leaders and relevant employees from ?nance, biddingand procurement, and enterprise management divisionsof the Company. The police officers from the EconomicInvestigation Brigade of Jiangyin Public Security Bureauwere invited to provide systematic training in the lectureon, among others, telecommunications fraud, types of dutycrimes, and prevention of such crimes, while giving warningeducation through actual cases analysis, e?ectively improvingthe awareness of leaders and employees in preventingtelecommunications fraud as well as their understanding ofduty crimes.

The site of the legal lecture on anti-fraud and prevention of duty crimes

Reporting, accountability, and performance evaluation mechanisms for compliance management

Compliance Training

Establish a collaboration mechanism with the HR department, develop compliance training plans, create effectivecompliance training and education programs, and regularly organize compliance training work.

Environmental, Safety, and Quality Compliance EvaluationIn compliance management, the Company pays special attention to environmental, safety, and quality compliance. To ensure thatthe Company ful?lls its commitment to comply with laws and regulations made in its environmental, safety, and quality policies,the Company has formulated theCompliance Evaluation Measures, which has delineated the scope of environmental, safety, andquality compliance risk identi?cation and the work procedures for compliance evaluation.

Business EthicsThe Company thinks highly of business ethics cultivation and supervision, always practicing the concepts of honesty, fairness andresponsibility, to establish a favorable corporate image, and maintain good cooperation relationships with various stakeholdersincluding employees, suppliers and customers.

Business Ethics Supervision System

As a key to the Company's supervision over business ethics, anti-corruption and anti-bribery are subject to rules and regulationspromulgated by Shuangliang Eco-energy, including theAnti-Corruption Policyand theEmployee Handbook.

Anti-Corruption PolicyEmployee Handbook

This document stipulates a code of conduct for

procurement, sales, gifts and hospitality, business

banquets, charitable donations, sponsorship,

and other activities, as well as disciplinary

measures. All employees are required to sign the

Acknowledgement of Anti-Corruption Policy.

This document proposes a code of conductfor employees, which expressly requires,interalia, "strictly following the Company's ?nancialdiscipline, not engaging in corruption orbribery". All employees will receive training forthe handbook provided by the Company.

Evaluate regulations andother requirementsIdentify regulations andother requirements

Form a list

Develop and distribute compliancechecklists to various departmentsConduct compliance evaluationby departments, and consolidatethe results by the enterprisemanagement departmentFormulate complianceevaluation conclusionsTake corrective andpreventive measures forexisting issues

Work procedures for environmental,safety, and quality compliance evaluation

Supervision over High-Risk Positions

Much focus is put on implementing stricter supervision over high-risk positions. As a part of theAnti-Corruption Policy, sectionstitled "Anti-Corruption Policy for Procurement" and "Anti-Corruption Policy for Sales" are tailored for procurement and sales, twotypes of positions with a high risk of corruption or improper behavior.

Develop procurement principlesInclude, speci?cally, price to value, transparency, fair and open competition, avoiding con?icts ofinterest, con?dentiality of commercially sensitive information, and accountability

Identify major risks

Include con?icts of interest and acceptance of bene?ts

Provide for prohibited behaviors and preventive measures

Cover the Entire Process: Expressly provide for the entire procurement process, including preparinginquiry documents, soliciting suppliers, receiving quotations, reviewing quotations, placing orders,con?rming receipt of goods/services, and auditing supplier performanceDe?ne Preventive Measures: Develop corresponding preventive measures for prohibited behaviors

Anti-corruption policy for sales

Develop sales principlesConduct monitoring and prevention based on risks

Include, specifically, the principles of clarity andtruthful accounting, requiring accurate recordingof contact with customers and truthful entry ofaccounting data

Cover Key Points: Clearly define the monitoringfocus of key points in the sales process, includingpromotion, marketing, agent management,sales revenue, and management supervision,where there may be behaviors against laws andregulations such as corruption/briberyClarify Preventive Measures: Develop multiplepreventive measures from a systemic perspectivefor each key point to avoid corruption, bribery andother behaviors that violate business ethicsAnti-corruption policy for sales

InnovateProductsand DevelopTechnologyShuangliang Eco-energy values product quality,is committed to innovative development, andseeks to constantly raise customers' satisfaction.The Company has a well-established qualitymanagement system to strictly guarantee productquality, with high input on product innovationand effective intellectual property managementto ensure the protection and commercialization ofinnovative achievements.Manage and Assure QualityPut Customer First, and Focus on ServiceAdhere to Scienti?c Research and Innovation forHigh-Quality Development

Product quality management is always a focus of Shuangliang Eco-energy. Based on ISO 9001 and in light of its development andoperation, the Company has developed relevant product and quality management rules, and practiced the concept of providinghigh-quality products and ensuring product quality in daily production, continuously improving its quality management system.

Manage and Assure Quality

In order to implement the guiding ideology of "zero errors in quality management andzero defects in product quality", the Company has established a full process productquality control process from product quality risk analysis, risk evaluation to quality controlmeasures in accordance with the requirements of the quality management system ISO9001. A series of rules including theQuality Assessment Management Rules, theProductConsistency Management Rules, theIdentification and Traceability Management Rules

have been put in place whereby to enhance employees' awareness of quality responsibility,reduce losses on quality of products, services, processes, and other aspects caused by workerrors; maintain consistency of certi?ed products, control and manage change processesto meet product certi?cation requirements, and improve the Company's quality assurancecapabilities; identify and record the product, inspection, and testing status of raw materialsand purchased parts throughout the entire process from entry to delivery, ensuringtraceability of product quality processes.

Quality Management System

ISO 9001 quality management

system certi?cation

Product quality control

Direct Risk: Product and servicequality riskIndirect Risk:Damage to otherproperties or personal rights ofcustomers during serviceProcurement process controlprocedureContract review control procedureChange management procedureEquipment management controlprocedureManagement manualrequirementsHuman resource control procedure

Risk of product failure andcontract lossRisk of civil liability forcompensation

Product qualitycontrol measures

Product QualityRisk Identi?cation

Product qualityrisk assessment

Once ?nding any material internal and external quality issue, quality complaint from large group customer, and quality problemthat has been repeated three or more times, the Company will immediately organize a special quality analysis meeting to formcorrective and preventive measures. At the meeting, a root cause analysis for each issue (including potential issue) or statisticaltrend shall be made, and corresponding measures, responsible departments, responsible persons, and schedules be de?ned.

Product consistency management control requirements

In case of changing (addingor replacing) the approvedproduct name, nameplate,speci?cation/model, controlledcomponents and materials forprocurement and on-site use,it is required for the Companyto provide relevant informationincluding product performanceindicators, safety and reliabilityindicators, and environmentalindicators, and then apply forchange on the correspondingtechnical platform system.

The Company shall ensurethat there are no di?erencesbetween the manufacturedproducts and the certi?ed orenergy e?ciency registeredproducts, with consistentraw and auxiliary materials,acceptance standards forraw and auxiliary materials,process quality requirements,production equipment and?xtures, production operationprocedures, factory inspectioncontrol, and outer packaging,labels and nameplates.

For various inconsistenciesdiscovered, relevantdepartments of the Companyshall take corrective measuresto ensure that productsapplied for certi?cation orlabeling continue to meetthe requirements of energy-saving certi?cation and energye?ciency labeling.

Change controlConsistency control

requirements

Nonconformity correction

Control process for quality analysis meeting

Meeting inputData preparation

Meeting topic andpersonnel determination

Tracking implementation

and veri?cation

Developing corrective

and preventive

measures

Meeting noticeHolding meeting

All products returned from the market, voluntarily recalled by the Company, or unsuitable for the factory production processwill be taken back by the Company as per theProduct Recycling Management Rulesfor rework, repair, reprocessing and otherutilization. Under theNon-Conforming Product Management Rules, the Company's production line manager or quality inspectorshall complete theNon-Conforming Product Report Formin case of discovering non-conforming products, and all non-conformingproducts shall be classi?ed and responded to within 24 hours after being reported.

Management of Non-Conforming Products

Non-conforming products that fail to pass the productperformance test (excluding new product test);Involve non-conformity on important safety features ofthe unit;Carry losses of not less than RMB10,000 on scrappingor repair.

Non-conforming products for repair or rework involvingimportant and critical quality features (excluding safetyfeatures);Carry losses ranging from RMB2,000 to RMB10,000 onscrapping or repair.

Non-conforming products that have problems withperformance but can meet the requirements throughgeneral repair and rework measures, with losses of notmore than RMB2,000 on repair or rework.

The Quality Inspection Department shallimmediately report to the supervisor andorganize a special quality analysis meeting,while also reporting to the EnterpriseManagement Department of the joint-stockcompany. The deputy general manager incharge (quality assurance engineer) shallsign the opinions on the disposal of seriousnon-conforming products based on theresolution of the quality analysis meeting.The Enterprise Management Departmentis responsible for reporting to relevantbusiness units, and drawing inferencesfrom the instance.The manager of the Quality InspectionDepartment shall organize a review andpropose suggestions on disposal. In caseof a dispute over the review of disposal, orfailure to determine the issue, the instanceshall be reported to the deputy generalmanager (quality assurance engineer)in charge of the business unit for finaldisposal.Classi?cation and management measures for non-conforming products

Classi?cation of Non-Conforming Products

De?nitionTreatment or Control Process

Serious non-conforming products

Main non-conforming products

General non-conforming products

The Company held a quality management and operation meeting

In March 2023, to achieve the goal of "double ten billion" for the mechanical business, the Company and its subsidiaries,as well as various business units, met to provide organizational and institutional guarantees for "double ten billion", andclarify the responsibilities of "service, guidance, and supervision" around the work principles of "delivering products ontime, ensuring product quality, and pursuing safe and green production". Through this meeting, department heads of theCompany are enabled to have a better understanding of quality management.

The Company launched a "Quality Knowledge Contest"

To create a good atmosphere for all employees to "value quality management, participate in quality control, supervisethe quality process, and enjoy quality benefits", further enhance their quality awareness, and continue to build the"Shuangliang" brand, in September 2023, the Company organized an online "Quality Knowledge Contest" for allemployees, and presented awards to the winners of the first, second and third prize on site. The contest was activelyparticipated by the employees covering various business units in the mechanical sector, with a satisfactory e?ect.

Activity site of the "Quality Knowledge Contest"

Taking quality as its lifeline, the Company has been endeavoring to ensure product quality through equipment and technology,while putting emphasis on improving the quality awareness and skills of employees which is of great signi?cance to the enterprise.Quality Improvement Training

To ensure that the assembly of the Company's separately-shipped products (components) at the customer's site meetsthe specified quality requirements, and guarantees thequality of the products delivered, Shuangliang Eco-energyhas formulated theManagement Rules for Product Assemblyat Customer Site, putting forward strict requirements fortransportation, manufacturing, and inspection, etc. in termsof pre-shipment preparation, on-site assembly, and on-sitedebugging, so as to create high-quality products for customers.By virtue of the good product quality, the Company has beenhighly recognized by customers, and awarded the "NationalStandard Five-Star After-Sales Service Enterprise" and "Top 10After-Sales Service Enterprises in China", as well as the honor of"2023 Excellent Supply Partner" by Maotai Group.

Put Customer First, and Focus on Service

National Standard Five-StarAfter-Sales Service Enterprise

Top 10 After-Sales Service

Enterprises in China2023 ExcellentSupply Partner

ACustomer Satisfaction Measurement Systemhas been developed by the Company, under which customer satisfaction will bemonitored and regularly evaluated throughCustomer Satisfaction Survey Form, telephone communication, online and offlinevisits, and customer symposiums, etc., after which a customer satisfaction survey report will be issued, followed by measures to betaken for the purpose of improving the quality of the system, process, products, and services to ensure customer satisfaction.

Customer Satisfaction Survey

Dimensions covered by a product satisfaction survey

Customer satisfaction measurement process

Determine the measurementobject of customer satisfaction

Organize various departments to make investigationand collection of customer satisfaction informationTake improvement measuresMake information statistical

analysis and reporting

Determine measurementmethod and content

Develop a customersatisfaction measurement plan

Include in management reviewDevelop improvement projects based on

customer satisfaction survey feedback

Track the implementation ofimprovement measures

Product designProduct qualitySafety and reliabilityExteriorProduct commissioningPre-sales service

Service personnelWork qualityAfter-sales communication

Training and guidanceTimeliness of supply

Service responsePossibility of repeatedpurchasing

The Company recorded acustomer satisfaction rate of

During the reporting period

92.9%

Letters of thanks from customers

Banners awarded by customers

According to theEmergency Planning Rules for Customer Complaints, theTechnical Service Management Rules, and theRules forOn-Site Service by Technical Service Personnel, among others, and based on the "Four-Insistence" principle of quality complaintassessment, the Company has standardized the customer complaint handling process and technical service managementprocess by developing aCustomer Complaint Registration Ledgerto record customer complaint details, and requiring aQualityInformation Feedback Formto be completed upon analysis on product failures, etc., for sustainable optimization of customercomplaint handling mechanism.

Customer Complaint Management

Customer Complaint

Channels

Customer complaint management process

insist on punishing theresponsible personnel

and insist on educatingthe personnel involved

Complaint information registration

Product quality issue

Report to the EnterpriseManagement DepartmentComplaint veri?cation

Service quality issue

Coordinate handling andanalyze the reasons

Assessment andmanagementof the complaintReply to the user byletter if necessary

Complaint veri?cation

insist on takingrecti?cation measures

Insist on identifying thecause of an accident

Hotline: 0510-86632016Email: ：slservice@shuangliang.com

Under the corporate spirit of "learning to forge ahead and creating for eternity", the Company has developed the InnovationIncentive Management Rules to encourage employees to actively engage in scientific research and innovation, jointly providesuggestions for the enterprise, create an innovative atmosphere, and enhance the sustainable development ability of theenterprise. Since its establishment, the Company has won multiple scienti?c research and innovation awards.

As a leading enterprise in the mechanical industry, Shuangliang Eco-energy has been qualified nationally as a "PostdoctoralProgramme" and an "Enterprise Technology Center". In order to deeply implement the "High Quality Improvement Plan for R&DInstitutions" and vigorously improve the construction level of R&D institutions, the Company has undertaken the constructionproject directed by Jiangsu Provincial Department of Science and Technology, namely (Shuangliang) Photovoltaic and E?cientEnergy Equipment Engineering Technology Research Center in Jiangsu Province, actively carrying out R&D of energy saving andnew energy technologies, to maintain its leading position in the industry.

Postdoctoral Programme Enterprise Technology Center

The Company invested up to RMB

with up to

During the reporting period

541,698,068.39

1,050

in R&D

R&D team members

Certi?cate for New Technologyand Product of Key Promotion andApplication in Jiangsu Province

Science and TechnologyAward from ChineseAssociation of Refrigeration

Energy Innovation Awardfrom China EnergyResearch SocietyScience and TechnologyProgress Award in China'sMachinery Industry

Adhere to Scienti?c Research andInnovation for High-Quality Development

Awards of the company for scienti?c research and innovation

The "Four-Insistence"

Principle

In the context of a new round of technological revolution and rapid industrial transformation, the Company will, under the supportof a three-level R&D system, focus on major customers and industries, deeply explore new customer needs, and further developnew products and directions, by delving into the "energy-saving and water-saving" industry, expanding the photovoltaic newenergy equipment industry, and laying out new tracks for energy storage and hydrogen energy, in order to make breakthroughs invarious sub-industry segments, further backing up the technological innovation construction of the enterprise.

Innovation is an important way to drive enterprises and society forward. In order to implement the "carbon peak, carbonneutrality" and "innovation-driven" development strategies, and to respond to the goals of the Medium and Long TermPlan for the Development of the Hydrogen Energy Industry (2021-2035), the Company participated in the 2023 HydrogenEnergy Entrepreneurship Competition for enterprises that use special and sophisticated technologies to produce noveland unique products. In this competition, the Company introduced a comprehensive energy-saving and water-savingsolution of the green electricity intelligent hydrogen production system, which showcased its contribution to improvingthe level of hydrogen energy industrialization in the market and won the Excellent Project Award.

Excellent Project Award in the 2023 Hydrogen

Energy Entrepreneurship CompetitionThe site of the 2023 Hydrogen Energy Entrepreneurship Competition

The Company participated in the 2023 Hydrogen Energy Entrepreneurship Competition

Technological Innovation Application

Development of long-life graphite electrodes for electric arc furnaces:erosion rate of graphite electrodes, the Companyhas worked to develop long-life graphite electrodes for electric arc furnaces. So far, six R&D schemes have been veri?ed forcoating, particle size, arc surface optimization, high bulk density, low ash content, and forming method. Among them, theservice life of graphite electrodes after arc surface optimization will increase by 17%, with the cost of graphite electrodesremaining unchanged and the cost of crucibles to be decreased by RMB59.5/piece.

No A-side Module: In order to maximize the owner's revenue from power generation, carrying forward the R&D spirit ofingenious conception, exquisite craftsmanship, and striving for excellence, process upgrade, and structure modificationwere conducted for the PV module to create the anti-dust accumulation and high-e?ciency PV module. With an anti-dustaccumulation border design and an optimized structure, this module has enabled an e?ective improvement of its dischargeand sewage disposal capacity, a decrease in the power generation loss caused by water and dust accumulation, and a highgain without dust and water accumulation, which not only reduces the impact of dust accumulation, but also reduces thefrequency of cleaning the module by the owner to a certain extent, thereby protecting the owner's bene?ts.

Electric arc furnace developed using long-life graphite electrodes

Innovative R&D of photovoltaic materials in the Company

Expansion of "Three New" application processes

Breakthrough Areas

"Three New"Application ProcessesRecover the waste heat from the steam condensate and the flue gas from thecalcination furnace in the factory area, and produce low-temperature cold water usingthe waste heat refrigeration technology of Shuangliang for the slurry mixing process.Initially apply thermal coupling in C5 isoprene distillation column, utilizing Category Iheat pump for energy-saving transformation of the distillation column.Recycle steam condensate from the factory area to produce steam, and replace theelectric refrigeration unit with low-temperature cold water.Recycle the waste heat from the ?nal stage exhaust of the nitrogen compressor to heatup the polluted nitrogen gas, saving the energy consumption of the electric heater.Replace some electric refrigeration units with waste heat refrigeration.Use the ?ash-o? steam from desulfurization slurry as waste heat for heating, overcomingthe problems of poor water quality and easy blockage of desulfurization slurry.Use metal smelting kiln ?ue gas in combination with vacuum water heaters to meetwinter heating, which can satisfy the year-round demand for domestic hot water.

Lithium battery -lithium carbonate industryC5 isoprene distillation columnLow temperature unit - phenol industrySteel industryBDO industryHeating with ?ash-o? steam fromdesulfurization slurry as waste heatRare earth industry

Border innovation

In January 2023, the green and intelligent workshop for distributed photovoltaic power generation project invested by theCompany was successfully combined with the grid. This project carries a full-life-cycle photovoltaic intelligent operationand maintenance platform system independently developed by cooperative enterprises, having a total designed installedcapacity of 1,157.58kWp, with an expected annual average photovoltaic power generation of 1,127,000KWH. It can reduceemissions of carbon dioxide by 937.7 tons, sulfur dioxide by 0.18 tons, and nitrogen compounds by 0.2 tons per year.The Company's green and intelligent workshop contributes to the achievement of the "dual carbon" goal, helping totransform regional energy production and consumption patterns, optimize energy structure, and prevent air pollution,which is of great signi?cance for regional green development.

To improve the production e?ciency of enterprise, reduce waste and errors in production, better utilize resourcesand manage enterprise, and promote sustainable development, the Company values the implementation of digitalwork in photovoltaic power generation and carbon neutrality solutions.

Successful operation of the green and intelligent workshopthe Company's photovoltaic power station supervision platform

The Company's digital platform supported intelligent operation and maintenance in theworkshop, with the photovoltaic power generation project successfully combined with the grid

Digital Development

Digital-driven full lifecycle carbon neutrality solutionZero carbon heating solution with complementarity of multiple energy sources: In August 2023, the Company, with themission of "green, low-carbon, energy-saving and environmental protection", tailored a safe, reliable, energy-saving,environmentally friendly, and economically efficient digitally-driven full lifecycle carbon neutrality solution for cities

DEKRA certi?cation PCCC certi?cation

and various industries - zero carbon heating solution with complementarity ofmultiple energy sources. This solution is of great help to multiple customers ofthe Company in achieving carbon dioxide reduction during the heating period.JSDJ S1 alkaline water electrolyzer suitable for new energy application scenarios:

In response to the national policies related to green and low-carbon industries,accelerate the promotion and application of advanced green and low-carbontechnologies, and support the sustainable development of Shuangliang's greenand low-carbon business, the Company has created JSDJ S1 alkaline waterelectrolyzer, a digitally-driven full lifecycle carbon neutrality solution suitable fornew energy application scenarios, which marks the progress of green electricityintelligent hydrogen production system from technological R&D to production,contributing to the green transformation of the energy structure. This solutionhas been certi?ed by DEKRA and PCCC.

To regulate and e?ectively protect its intellectual property rights, the Company hasdeveloped theIntellectual Property Management Rules, greatly helping improve itstechnological innovation and market competitiveness.

Intellectual Property Management

Intellectual property management system

During the reporting period

The Company held a total of1,360invention utility model patents

The Company has a total of

granted patentsare invention patents and (of whichutility model patents).

The Company won the ?rst "Jiangsu Patent Excellence Award"In June 2023, the People's Government of Jiangsu Province issued the Decision of the Provincial Government onPublishing the First Jiangsu Patent Award, in which the Company won the "Jiangsu Patent Excellence Award" for its"supplementary-fired lithium bromide absorption heat exchange system". The award represents the high recognitionof the Company's patent achievements by the intellectual property authority of Jiangsu Province, and also fully a?rmsShuangliang Eco-energy's continuous investment in R&D innovation, as well as implementation of intellectual propertyprotection and application.

Supplementary-?red lithium bromide absorption heat exchange system Jiangsu Patent Excellence Award

The Company's 2000Nm?/h electrolyzer with its independent intellectual property rights

successfully went o? the production lineIn September 2023, the Company's 2000Nm?/h electrolyzer withits independent intellectual property rights successfully went offthe production line from the Green Electricity Intelligent HydrogenProduction Equipment Workshop, which broke the previous record forthe maximum hydrogen production of the same product, demonstratingthe Company's strength in the design and manufacturing of large-scaleelectrolyzer systems, marking a solid step forward for Shuangliang'shydrogen energy undertaking.The Company's 2000Nm?/h electrolyzer withits independent intellectual property rights

successfully went o? the production line

Work withPartners forMutual Bene?tsand Win-winResultsShuangliang Eco-energy has established strict standardsfor supplier screening, admission, and management, andemphasizes integrity in procurement. Meanwhile, theCompany continuously strengthens strategic cooperationwith universities and enterprises in the same industry toshare innovative technologies and exchange with eachother, for win-win results.Supply Chain ManagementIndustry-Academia-Research CooperationJoint Progress with Peers

Supply Chain ManagementShuangliang Eco-energy has formulated theProcurement Management Rulesand theSupplier Management Rulesto regulateprocurement processes, ensure the quality of raw material products purchased, and strictly manage the screening, admission,assessment, and classification conditions of suppliers. Constant efforts are made to improve such documents as theExternalSupplier Management Rulesfor a strict admission mechanism, and to select supplies under a merit-based system through astrict shortlisting process of quali?cation assessment, sample trial production, batch trial, on-site check and supply performanceevaluation of potential suppliers. During the cooperation, we have imposed various requirements including those for environment,security and occupational health and safety on suppliers to meet the Company's comprehensive needs for product quality,environmental protection and safety.

SupplierManagement

Supplier Assessment

All design subcontractors,outsourced processingsubcontractors, construction

subcontractors, as well asmanufacturers and agents providing

Class-A procurement products

Supplier management process

Screen out quali?ed suppliers based on multiple veri?cation processes such as samplevalidation and small batch validation;Focus on whether the supplier is a well-known domestic unit or one of the top threeenterprises in the industry;Inspect the comprehensive strength guarantee in terms of product stability, producttechnical support and services, etc., provided by the supplier, with the supplier to beincluded in the list of quali?ed suppliers only after an on-site check.Require raw materials necessary for production by the Company, such as steel, copper,aluminum, pipes, etc., to be subject to an application for procurement by variousbusiness departments based on customer needs, planning requirements, and warehouserequirements, etc;Convert the Purchase Requisition according to the "Procurement Products ImportanceClassification Schedule", during which, after receiving the Purchase Requisition, theProcurement Department will prepare a purchase order based on the supplier price listand signs an annual contract directly with the supplier for procurement;As to equipment accessories, adopt supplier bidding for the Procurement Departmentto determine the main material suppliers for the year and carry out procurementactivities accordingly.Conduct comprehensive, speci?c, objective, and dynamic evaluations of suppliers, anddynamically upgrade, downgrade, and eliminate them based on the evaluation results;Regularly organize review teams to conduct on-site reviews on quality control, fieldmanagement, warehousing, and other aspects of the main original suppliers, helpingthem improve their technical and management levels.

Class-A SuppliersClass-B SuppliersClass-C Suppliers

Subcontractors for maintenanceservices and manufacturers andagents who provide products otherthan Class-A procurement products

Outsourcers of non-coreprocurement products, as well asmanufacturers and agents whoprovide standard componentproducts with small quantities andlow amounts involving no enterprise

customization requirements for

single item procurementSupplier classi?cation

Industry-Academia-Research Cooperation

Shuangliang Eco-energy has established a good industry-academia-research cooperation relationship with universities andresearch institutes for long-term exchange, learning and research collaboration on scienti?c research projects, driving commondevelopment while helping cultivate academic and technological innovative talents for the industry.

To jointly create a cooperativeenvironment of honesty, integrity, andself-discipline between the Companyand suppliers, and to prevent andresist various commercial fraud andunfair competition behaviors, everyprocurement contract will incorporateanIntegrity Agreement.

Integrity Agreement

The Company reached strategic cooperation with Guangzhou Institute of Energy Conversion,Chinese Academy of Sciences on liquid cooled energy storageIn July 2023, a cooperation signing ceremony was heldbetween the Company and Guangzhou Institute ofEnergy Conversion, Chinese Academy of Sciences toopen their cooperation on the liquid-cooled energystorage system, under which both sides will use theirrespective advantages to jointly develop high-powerand efficient liquid-cooled energy storage systems.With this cooperation, the Company has formed its keyequipment for liquid-cooled energy storage as wellas efficient and safe intelligent liquid-cooled energystorage systems, driving the widespread of efficientand safe liquid cooling energy storage systems, andcontributing to the national low-carbon developmentstrategy of "renewable energy" and "energy storage".

Cooperation between the Company and Guangzhou Institute of Energy Conversion

On-site check items on suppliers

On-site Check

Items onSuppliers

Basicmanagement

Technicalcapability

Production/constructioncapacityLogisticsprocesscapability

Quali?cationand integrity

SupplierAdmission

Joint Progress with PeersClosely following the development trend of industry, Shuangliang Eco-energy actively partners with other companies for commongrowth. The Company actively participated in industry conferences to enhance cooperation and exchanges with peers, and shardits latest innovations and experiences, towards industry progress.

Company reached a strategic cooperation agreement with LONGKING

Shuangliang Eco-energy attended the 5th Future Energy Convention

In July 2023, to further open up andgive play to the potential of the energy-saving business market, the Companyestablished a long-term and stablestrategic cooperation relationship withLONGKING in waste heat utilizationand intelligent energy, etc., creatinga win-win and sustainable strategicpartnership, jointly promoting high-quality development, and makinga contribution to the realization ofthe national goals of "3060" and"construction of a beautiful China".

In September 2023, the 5th Future Energy Convention was successfully held in Wujin District, Changzhou City, JiangsuProvince. The Company, along with numerous well-known enterprises and renowned experts and scholars from bothdomestic and international sources, gathered at the convention to jointly promote the sustainable developmentof the energy industry and move towards a green, sustainable, and symbiotic energy future. At this convention, theCompany presented the theme of "Shuangliang Green, Low-Carbon and Clean Energy Solutions" to the peers, made aspeech on "Energy Technology Innovation and Sustainable Development", and shared the wisdom achievements forthe transition from "traditional energy" to "future energy", as well as the inspiration and experience of China's energytransformation from an international perspective.

Strategic cooperation signing ceremony

The Company presented on "Energy Technology Innovation andSustainable Development" at the roundtable dialogueThe Company presented the theme of "Shuangliang Green, Low-Carbon and Clean Energy Solutions"

Industrial standards drafting led and participated by the CompanyShuangliang Eco-energy participated in the review meeting for four group standards, includingtheNon-Coated Rare Earth Low-Carbon Steel WireIn August 2023, the Company participated in the review meeting jointly organized by Hebei Energy ConservationAssociation and China Steel Development Research Institute for four group standards, namely theNon-Coated RareEarth Low-Carbon Steel Wire, theRare Earth Low-Carbon Hot Rolled Steel Wire Rod, theRare Earth Carbon Steeland Low Alloy Structural Steel Hot Rolled Steel Plate and Strip, and theTechnical Speci?cation for Dry SelectiveAdsorption Desulfurization of Blast Furnace Gas. Through this review meeting, the Company realized deeply theimportance of "conscientiously drafting and promoting group standards, promoting the coordination and linkageof government, industry, academia, research, and application, and leading the industry and enterprises to steadilyenter a new stage of high-quality development via standardization construction".

To facilitate industry development and revolution, improve the competitiveness of the enterprise, shape brand image, and obtaingreater opportunities to expand the market, the Company actively leads and participates in the drafting of industry standards.

Steam and Hot Water Type Lithium BromideAbsorption Uni

NationalGB/T18431-2014

PrincipaldrafterCategory I Lithium Bromide Absorption Heat PumpUnit

NationalGB/T34620-2017

PrincipaldrafterMinimum Allowable Values of the Energy E?ciencyand Energy E?ciency Grades for Lithium BromideAbsorption Chillers

NationalGB29540-2013Participant

Technical Speci?cation for Steel Structure IndirectAir-Cooled Tower

IndustrialT/CEC332-2020

PrincipaldrafterPerformance Test Code for Heat Transfer Element ofAir-Cooled Condenser in Power Plant

IndustrialDL/T552-2015ParticipantGuidelines for the Operation of Direct Air-CooledSystems in Thermal Power Plants

IndustrialDL/T1934-2018ParticipantPerformance Test Code on Direct Air-Cooled SystemIndustrialDL/T244-2012ParticipantAcceptance Guide for Direct Air-Cooled SystemIndustrialDL/T1428-2015ParticipantExtra Large Air Separation Equipment for CoalChemical Industry

IndustrialNB/T12006-2016ParticipantTest Code for Indirect Air-Cooled TowerIndustrialT-CECS680-2020ParticipantTest Code for Heat Transfer Components of IndirectAir-Cooled Radiators

IndustrialT-CECS681-2020Participant

Title of StandardStandard LevelStandard No.

InvolvementMethod

Join Hands withEmployees forMutual Growthand ProgressTaking employees as the core competitiveness ofenterprise development, Shuangliang Eco-energy keepsimproving the employee rights protection system andthe occupational health and safety management systembased on the employment criteria of open and fairness, theemployment philosophy of "stressing ability and morality,and putting morality ?rst", and the management policy of"being scientific and people-oriented". Besides, a seriesof talent training and management systems have been setup to create a team with strong business capabilities andenterprising spirit, for mutual growth and progress of theCompany and employees.EmploymentEmployee Compensationand WelfareEmployee Training

Employee Health and SafetyEmployee Support Activities

New Employee Registration

Signing contractHandling employment andinsurance proceduresOnboarding training

Employment

Shuangliang Eco-energy strictly abides by the national employment rules, labor protection rules and other relevant rulesand regulations, adheres to legal and compliant employment, and continuously improves compensation and performancemanagement to protect the legitimate rights and interests of employees. Meanwhile, the Company insists on providing employeeswith complete welfare guarantees and a comprehensive training system, committed to creating a happy workplace for employeesand truly realizing the sustainable development of the relationship between employees and the Company.Compliant EmploymentIn strict accordance with theLabor Law of the People's Republic of Chinaandother relevant laws and regulations, Shuangliang Eco-energy has formulated andkeeps improving its human resource management system, resolutely implementsbasic principles such as compliant and fair employment, signs labor contracts withemployees according to law, continuously perfects thePersonnel ManagementRulesand theLabor Employment Management Regulations, and advocates for fairopportunities and diverse workplaces, to standardize the Company's personnelmanagement and strengthen the uni?ed management of labor employment, meetthe employment needs of the Company's production, operation and managementfrom time to time, and safeguard the legitimate rights and interests of employees.

Employee Diversity

Adhering to the principle of equal opportunities, Shuangliang Eco-energy respects and equally treats every candidate, neverincorporating their gender, age, ethnicity, religious belief, and native place into the application criteria, committed to creatinga pluralistic and diverse workplace. Through absorbing employees of di?erent genders, age groups, educational backgrounds,and professional categories as appropriate to their positions with di?erent ways of thinking, experiences and skills, the Companymanages to improve its overall innovation and problem-solving abilities, and enhance the understanding and cooperation amongemployees, thereby building a more inclusive and harmonious work environment.

During the reporting period

Recruitment and Employment

Promotion and Transfer

Resignation

Resignation, dismissal, voluntaryturnover, retirement, etc. shallbe handled in accordance withrelevant national laws andregulations, or corporate rulesand regulations

Internal Recruitment:

Self-recommendation, jobcompetition, etc.

External Recruitment:

Online recruitment, on-siterecruitment in talent markets,campus recruitment, televisionrecruitment, and headhuntingcompany recommendation, etc.

Personal income, job promotion, and year-end evaluation will be based onperformance evaluation resultsEmployee transfer must be processed through transfer procedures

Probation and Conversion

Those who pass the assessmentat the end of the probationaryterm will be converted intoformal employeesThose with outstandingperformance during theprobationary term can beconverted to formal employeesahead of schedule

Personnel management system of the Company

The Company had6,455 employees in total

including2342new employees

of whom

1951are male

and

are female

with a labor contract signing rateand a social insurance coveragerate of

100%

Compositionof Employee

Genders

Compositionof EmployeeProfessional

Categories

16.20%

18.75%

83.80%

0.93%

53.01%

3.52%

12.08%

11.71%

MaleFemale

AdministratorProduction sta?TechnicistFinancial sta?SalespersonOthers

Compositionof EmployeeAges

Compositionof EmployeeEducations

8.13%

1.58%

11.99%

0.09%

38.56%

18.79%

41.32%

79.54%

30 years old and below40 to 49 years old30-39 years old50 years old and above

Below bachelordegree levelMasterBachelorDoctorEmployee composition

双良节能始终坚持"以人为本"的管理理念，高度重视并维护员工各项合法权益，严格遵循《中华人民共和国劳动法》《中华人民共和国劳动合同法》以及《中华人民共和国工会法》等国家法律法规。同时，公司关注员工职业发展及职场体验，优化薪酬福利体系和关爱政策，实现员工成长与公司发展规划目标的同步发展。

"Position - Skill" compensation system

Employeecompensation

Graded salary

Bonus

Allowance

Safety awardPerformance evaluation award

Basic salary

Nutrition allowance

Special allowance (con?dentiality allowances, driverboard expenses, kilometer subsidies, etc.)

Position salary

High temperature allowance

Skill salary

Mid-night shift allowance

For employees with different competencies and quality, the Company will provide different performance evaluations to fullymobilize their enthusiasm and initiative, improve organizational and operational capabilities and production e?ciency, create a"capacity-based" atmosphere within the Company, and better help attract and retain valuable employees.Performance GoalBreakdown

Performance PlanPerformance Process

Performance

Evaluation

Company and BusinessDivisions: Annual planand ?nancial indicators

Breakdown of annualdepartmental plansEmployees submittingtheEmployeePerformance EvaluationForm

Monthly/quarterlyevaluationPerformance interviewPerformance appealFollowing up andadjustment ofperformance planCoaching andencouragement duringthe execution of the planRegular communicationwith employeesPerformance management system of the Company

Housing Bene?tsRegulations on the Administration of Housing Rental

Provide accommodationProvide suites for married individuals inneed (with central air conditioning and 24-hour hot water)Ensure convenient living in the community

Leave Bene?ts

Regulations on the Administration of LeaveInterim Provisions on Posts and Compulsory Leave forPersonnel in Key Positions

Implement a weekend systemO?er national statutory holidaysO?er 11 days of paid leave for the SpringFestival

Care Bene?ts

Health Care Management Regulations for Special PostsRegulations on the Administration of EmployeeCasualty CompensationRegulations on the Administration of Work-relatedInjury InsuranceAccident Potential Management RulesRegulations on the Administration of Overtime Workand DutyProvisions on Health Protection of Employees

Five social insurance and one housingprovident fundPay nutrition, high-temperature and otherallowancesClarify employee work-related injurybene?tsProtect employees' right to restRegular annual physical examinationCare for female employeesIncentiveBene?ts

Regulations on the Management of Employee Awards

Advanced collective and individualselectionOther Bene?ts

Free shuttle busEmployee communityNew employee quality developmentHoliday bene?tsEmployee birthday bene?ts, etc.

Employee welfare system

Welfare TypeInstitutional GuaranteeMeasures

Job allowance

Employee Compensation and WelfareShuangliang Eco-energy always upholds the "people-oriented" management philosophy, takes a ?rm stand on safeguarding thelegitimate rights and interests of employees, and strictly follows national laws and regulations including theLabor Law of thePeople's Republic of China, theLabor Contract Law of the People's Republic of China, and theTrade Union Law of the People'sRepublic of China. Meanwhile, the Company keeps an eye on the career development and workplace experience of employees,and seeks to optimize the compensation and welfare systems as well as care policies for them, in order to achieve employeegrowth in parallel with the targeted development of the Company.

Welfare System

The Company offers various benefits to all employees to show attention and care for them, further enhancing their sense ofbelonging and cohesion, and improving their work enthusiasm and satisfaction.

Compensation Management Measures

To ensure employee compensations are in line with the Company's development stage and overall benefits, and to achievemutual progress, Shuangliang Eco-energy has formulated theSalary Management Rules,under which, the compensation structureshall be adjusted based on the di?erences, regions, and industrial salary levels of various employees, so that the Company canguarantee the rationality, feasibility and sustainability of the compensation level of employees, provide competitive compensationfor employees and lay a solid foundation for attracting and retaining talents.

Various career development paths for Employees

Management

Profession/Technique

Miscellaneous Labor

Senior ManagementGeneral Manager/ DeputyGeneral Manager

Top-notch WorkerIndustry AuthorityChief Engineer/Deputy Chief

EngineerMiddle ManagementDirector/Senior Director

Senior WorkerCompany ExpertsExpert/Senior ExpertGrassroots ManagementManager/Senior Manager

Intermediate WorkerProfessional/Technical BackboneProject/Senior Project Engineer

Experienced IndividualsSpecialist/Engineer/Junior Worker

NewcomersAssistant Specialist/Assistant Engineer/Apprentice

Growth SupportGrowth SupportGrowth Support

Whole-process talent education and training system

Training MethodTraining Content

Pre-jobTraining

The Company has formulated the ManagementRegulations of Apprenticeship, implementing thework of "mentors instructing apprentices" relying onthe "Shuangliang University", the human resourcesdepartment and all business units, and strengtheningthe Company's human resources development andreserve of backup talents, to enable an institutionalized,scienti?c and standardized talent training system.

On-the-job

Training

The Company offers six training course systems of"consistence training + management training + ordinaryemployee training + vocational training + productionoperation personnel training + entire sta? training" for on-the-job employees, to standardize the Company's humanresource management and ensure the Company's abilityto develop in a stable, sustainable and healthy manner.

TimelyTraining

Relevant personnel will be trained in response toimplementation of new technology and process, andselection of equipment.

Employee Self-development

Training

Employees are encouraged to develop themselves,participate in training activities independently, andobtain updated knowledge;Besides, employees are encouraged to use theirindependent and ?exible spare time to study foracademic quali?cations and certi?cates.

During the reporting periodAll employees of the Companyreceived training, with a totaltraining time of32,214.8hours

and an average training time of

23.44

hours per person

Employee Training

Talents are the primary resource for creating value. The Company always respects the personality and growth needs of employees,and insists on providing open and fair development opportunities for responsible, capable, and skilled employees, allowing themto fully utilize their strengths and closely link their personal development with the Company's career.Promotion Management and Career DevelopmentUnder the guidance of the talent evaluation standards of "emphasis on virtue, ability, and performance", Shuangliang Eco-energycontinues its efforts to improve and implement thePromotion Management Regulations of the Companyand theEmployeeCareer Development Management Regulations,etc., sets comprehensive promotion assessment factors, constructs a fair talentpromotion mechanism, and o?ers di?erentiated career development paths for di?erent levels and families to meet the long-termdevelopment needs of di?erent groups.

Talent Education and Training

Keeping in mind the corporate spirit of "learning to forge ahead and creating foreternity", the Company is devoted to building a comprehensive talent education andtraining system that is "hierarchical, categorical, multi-form and full participatory",constantly clarifying the growth paths of employees, and helping employees tofurther improve their ability and career value through creating a whole-processtraining system, thereby to enable the sustainable development of the Company'shuman resources. Meanwhile, pre-job training, on-the-job training, timely trainingand self-development training are offered by the Company regularly or irregularlyfor employees through internal training and external training, so as to ensure thatemployees can complete their work with high quality and improve their work ability.

21,880hours for maleemployeesand

10,334.8hours forfemale employees

Training and quality development activities for new employees in the Company

The Company collaborated with the Clean Heating Industry Committee (CHIC) for a series ofonline classes

The Company o?ered training for new employees, covering corporate culture, three-level safety education, exhibitionhall and workshop visits, among others, and conducted corresponding tests for them. All new employees participatedin the training, 100% of whom passed the tests. Additionally, a quality development session for new employees wasincluded this year, during which a series of team activities were arranged for them to improve their sense of belonging,help them to rapidly ?nish role transformation, and enhance team cohesion.

Using a digital marketing platform as a carrier, ShuangliangEco-energy collaborated with CHIC to launch a series oflive streaming activities for online classes. Experts andscholars were invited to communicate and interact witheveryone online, showcasing the Company's developmentachievements and practical implementation in green, low-carbon, energy-saving and environmental protection,and jointly exploring the latest trends and developmentdirections in the fields of energy saving, water saving, etc.,to create a good atmosphere of energy conservation andcarbon reduction. This opened up a new trend of green andzero carbon, and gave us a chance to contribute to the high-quality development of the national energy conservation andcarbon reduction industry with our wisdom and strength.

New Employee Training

Quality development activities

Some previous lectures on the Company's online classroom

The Company conducted an emergency ?re?ghting drillIn June 2023, the Company organized the annual emergency firefighting training and drill, joined by a total of 23volunteer ?re?ghters, mainly focusing on strengthening safety and ?re protection knowledge, learning and practicingthe use of fire extinguishers, and popularizing self-rescue methods in case of fire. This training and drill enabledemployees to further improve their awareness and skills in firefighting and rescue, providing a guarantee for theCompany to create a safe, harmonious, and stable working environment.

Annual emergency ?re?ghting training and drill

During the reporting period

The physical examinationcoverage rate of employees inthe Company reached100%

without work-related fatalities

Employee Health and Safety

It is one of the top priorities for the Company to ensure the occupational health and safety of employees. Continuous e?orts aremade by the Company to improve the occupational health system, strengthen work safety management, and further enhance therationality and e?ectiveness of the management system. Through the Work Safety Management Committee, the Company hasorganized various emergency drills, as well as work safety knowledge and other relevant training, constantly enhancing employees'awareness of health and work safety, and improving their work safety ability, to ensure their health and safety.

To further enhance the awareness of work safety and emergency response capabilities of all employees, Shuangliang Eco-energy has arranged various training activities and emergency drills related to work safety. Through these activities and drills, theCompany has established a sound collaboration and linkage mechanism for emergency response among relevant departments,improved cooperation competences between departments, and made emergency response work more targeted. Meanwhile,employees have also enhanced their safety awareness and emergency response capabilities for safety accidents, sudden illnesses,and other situations as a result.

The Company conducted an emergency drill for low-temperature storage tank leakage

The Company organized work safety training for winter

In May 2023, to implement the work safety policy of"safety first, emphasis on prevention, and holistictreatment", improve the accident prevention andemergency support capabilities, and ensure thesafe and stable operation of the Company's energysystem, the Company conducted an emergencydrill for low-temperature storage tank leakage,improving the emergency response and self-protection abilities of employees.

In November 2023, the Company organized a winter work safety training for all employees in the workshop, which mainlycontained theoretical knowledge in dealing with adverse weather, preventing ?re accidents, and complying with tra?csafety, with a total of more than 600 participants, thereby enhancing the work safety awareness of employees.

The sire of the emergency drill for low-temperature storage tank leakage

The sire of the work safety training for winter

The Company held a sports meeting for employees

The Company organized a West Lake tour for the Women's Day

To enrich the work and life of employees and meet their spiritual needs, the Company conducted a sports meeting foremployees, which not only enhanced the physical and mental health of employees, but also promoted communicationamong various departments, improved team-work spirit among employees, and energized employees to a greatextent.

To show loving care for the daily work and life of female employees and improve communication among employees,the Company organized the "March 8th" themed activity - West Lake tour, which helped employees to relax, enhanceemployee communication, extend employee happiness and promote team cohesion.

Opening ceremony of the sports meeting for employees

West Lake tour

Employee Support Activities

To gain employees' recognition of the Company's values, and add value to their lives, the Company advocates a collaborativeand enterprising team spirit, creates an inclusive and harmonious organizational atmosphere, and regularly provides support tovulnerable groups and di?cult employees, forming an employment philosophy of being "careful in recruiting employees, sincerein using them, and thoughtful in keeping them" to increase employee stickiness from work, life, and emotions.To inherit its employment philosophy, the Company regularly arranges activities during holidays to show care for femaleemployees and renders assistance to employees in hardship. Various cares and concerns are provided for employees to constantlyimprove their sense of happiness in the workplace.

EnvironmentalProtection andSustainableDevelopmentIn order to protect the environment and promotesustainable development, Shuangliang Eco-energy hasestablished a comprehensive environmental managementsystem to regulate the energy used in its production andoperation, as well as the wastewater, exhaust gas, solidwaste, and noise generated, etc., with various measurestaken for energy conservation, emission reduction andpollution control to minimize the adverse impact on theenvironment and safeguard our green earth.Environmental Management - Build a Green EnterpriseEnergy Management - Promote Energy Conservationand Carbon ReductionPollution Control - Safeguard Our Green Earth

Shuangliang Eco-energy keeps a close eye onthe impact of its production and operation onthe environment, with a well-established QESmanagement system of which environmentmanagement is made an important part. Duringthe reporting period, the Company maintained aneffective ISO14001 environmental managementsystem certification, never engaging in anyenvironmental violations or penalties.

Environmental Management -Build a Green Enterprise

Environmental Management

System Certi?cation

Shuangliang Eco-energywas awarded the titleof "Green Factory inJiangsu Province" by theIndustry and InformationTechnology Departmentof Jiangsu.

In 2023

the Company invested RMB

In 2023

1.88

million inenvironmental protection

During the reporting period, in accordance with theEnvironmental ProtectionLaw of the People's Republic of Chinaand other relevant laws and regulationsof China and Jiangsu Province concerning environmental protectionmanagement of construction projects, the Company has conducted anenvironmental impact assessment on its newly built Shuangliang Digital-Driven Transformation - Green Intelligent Production Service Project, andsubmitted an environmental impact report to relevant authorities, whichhas been reviewed and approved. Strictly following theThree SimultaneitiesManagement Rules, the Company proceeds with environmental managementduring the design and construction process of new projects to ensure thatall types of pollutants are subject to up-to-standard discharge without anynegative impact on the environment.

Conduct environmental impact assessment and reporting for thenew green intelligent production service project according to law

Emergency Management SystemIn order to respond to and manage potentialmajor hazards, important environmentalfactors or material latent dangers, and tobest prevent and reduce environmentalpollution and safety accidents, the Companyhas formulated theEmergency Preparednessand Response Management Rules, based onwhich, an emergency command center isestablished, emergency response plans areprepared and ?led with relevant governmentauthorities, and emergency drills areconducted regularly every year.

The Company conducted an emergency drill for sudden safety and environmentincidents in the paint roomPainting or brushing operations are carried out in the Company's paint room, which poses a high risk of safety andenvironment incidents. To further prevent accidents and improve the emergency response capabilities of relevantemployees, the Company has equipped the paint room with fresh air systems and exhaust gas treatment facilities.

Summary and comment after the drill

Scope of emergency preparedness and response

Potential ?re accidentsPotential leakage of

hazardous chemicalsAccidentaldischarge/emissionof wastewater andexhaust gasEnvironmental impact caused by disastrous weather (rainstorms, ?oods, etc.)

Emergency response

to acute poisoning

and major work-

related accidents

In order to build a resource-saving society, achieve sustainabledevelopment, enhance employeeawareness of environmental protection,and gradually regulate employeebehavior, the Company launcheda knowledge campaign on "JointlyBuilding a Waste-Free City".

Environmental Promotion

Promotion Bar for "Waste-Free City" "Waste-Free City" Building Content

Full coverage of the "Five-Element" collection andtransportation system forgeneral industrial solid waste

Full coverageof constructionwaste resourceutilizationFull coverage ofhousehold wasteclassi?cation

Full coverage of theagricultural wastecollection, storage andtransportation system

Full coverage of integratedservices for hazardouswaste collection andtransportation

In July 2023, the Company conducted an emergency drill for sudden safety andenvironment incidents in the paint room. During the drill, it was simulated thata power outage in the workshop caused the fresh air systems and exhaust gastreatment facilities to stop operating, resulting in an increase in the concentrationof exhaust gas in the paint room. The simulated accident took 20 minutes until thehead of the emergency rescue team declared the end of the danger, marking thesuccess of the drill.

The Company worked with ecological partners to create a zero carbon digital factoryIn the journey of more than 40 years of deeply involving in the green and environmental protection industry, the Company hasbeen committed to providing customers with low-carbon and zero-carbon solutions. Meanwhile, the Company also activelyendeavors to achieve its low-carbon transformation. In August 2023, an opening ceremony was held by the Company for theZero Carbon Digital Factory in the Equipment Manufacturing Industrial Park, with the chairman, directors and general managerof Shuangliang, the general managers and representatives of various business sectors in Shuangliang Equipment ManufacturingIndustrial Park, the general managers of various functional departments of the Company, and ecological partners such asHuawei and UFIDA participating in the event. The construction of the Zero Carbon Digital Factory in Shuangliang EquipmentManufacturing Industrial Park aims for zero carbon digital operation. Through measures such as the construction of an energycarbon digital platform, a photovoltaic system in the park, an immersive liquid cooling energy storage system and an e?cient

Opening ceremony of the Zero CarbonDigital Factory in the EquipmentManufacturing Industrial Park

computer room system, the development of intelligent and efficient equipment, theefficient upgrading of the air compression system, and the promotion of low-carbontravel for employees and electric vehicles, the park will achieve a development deeplyintegrating digitalization and zero carbon, unleashing development potential throughzero carbon intelligent manufacturing. Starting from the Equipment ManufacturingIndustrial Park as the ?rst stop for the construction of a zero-carbon digital factory, theCompany will gradually extend this effort to other industrial parks based on actualsituations and construction plans for carbon-neutral development.

Energy Management System Certi?cation

Energy Management - PromoteEnergy Conservation andCarbon ReductionTo further reduce energy consumption and improve energy e?ciency, the Companyattaches great importance to energy management, having developed the EnergyManagement Rules, and established an energy management system according to theISO50001 standard under which anEnergy Management System Manualhas beenprepared and implemented. The Company has been awarded an energy managementsystem certi?cation which remained in e?ect during the reporting period.

Energy management process

Electricity and steam are the main energies used by the Company, for which regular management is carried out through theprocess of setting indicators and goals, planning and scheduling, statistics and analysis, and summary and improvement.

Indicatorsand Goals

Planning and

Scheduling

Statisticsand Analysis

Summary andImprovement

Low-Carbon Energy TransformationTo support energy structure transformation, the Company gradually increases the proportion of clean energy usage. A greenintelligent workshop for the distributed photovoltaic project has been established in the factory area, with a photovoltaicinstalled capacity of 1,157.58KWp and an additional photovoltaic rooftop installed capacity of 669.35KW, covering o?ce buildings,

PV roof of the Company's factory

The Company was selected as a pilot case for the "Zero Carbon Action by ThousandEnterprises in Hundred Cities"

In December 2023, the "Green and Low-Carbon Integrated Innovation Forum" jointly hosted by Xinhua News, QuanzhouMunicipal People's Government, and International Cooperation & China Urban Planning Institute, etc., was held inJinjiang, Fujian. The forum released a list of pilot promotion cases (second batch) for the 2023 "Zero Carbon Action byThousand Enterprises in Hundred Cities" on-site, into which the Company, as recognized by the industry and the society,has been selected after evaluation for its outstanding contributions in the ?eld of energy conservation and environmentalprotection, as well as its low-carbon concept. Subsequently, the Company will create a zero-carbon enterprise under theongoing guidance of the International Cooperation & China Urban Planning Institute.

Energy TypeUnit2023

Comprehensive energy consumption10,000 tons of standard coal0.15

At the beginning of each year, formulate energy management goals and energyconsumption indicators for each department, as well as energy-saving and technologicalimprovement work plans

Each production department arranges production planning and scheduling reasonablybased on equipment characteristics and production processing needsKeep up with potential unreasonable energy loss phenomena through statistical data andon-site inspectionsPrepare anEnergy Consumption Record Formevery month and submit it level by level forsummaryMake energy consumption statistics and analysis on a monthly basis according to theenergy consumption records

At the end of each year, prepare an annual energy consumption summary for the Company,summarize energy management, review the completion of goals, and develop a draft of targetenergy indicators as well as strategies for improving energy management for the next year

workshops, and exhibition halls, etc. Operated under a mode of "generation for its own use,with surplus electricity combined to the grid", it facilitates green production capacity inthe workshop through digital means with a full lifecycle photovoltaic intelligent operationand maintenance platform system independently developed by the Company. Duringthe reporting period, the electricity used by the Company came from solar power plants,involving a total scale of approximately 1,193MWh, equivalent to reducing carbon dioxideemissions by around 1,189 tons. At present, the green electricity in the electricity usedby Shuangliang Silicon Material (Baotou) Co., Ltd. accounts for nearly 42%, while thisproportion for Shuangliang Solar-Tech (Baotou) Co., Ltd. is close to 50%.

Clean heating servicecerti?cation

clean heating enterpriserating certi?cation

Development of Clean TechnologyAs an active response to the huge heating market demand inNorthern China, the Company delves into the clean heatingfield, makes overall planning for the layout of the largetemperature difference market, and widely recovers wasteheat from power plants to solve urban heating sources andextend the large temperature difference heat supply in theheating network. In 2023, with strong technological innovationcapabilities and excellent operational capabilities for clean andintelligent heating projects, the Company was awarded a 5Afor the "Clean Heating Service Certification" and a 5A for the"Clean Heating Enterprise Rating".

The Company assisted Shijiazhuang Huanwang Heating Co., Ltd. in providing clean heating servicesThe Company made available 16 sets of 60MW lithiumbromide heat exchange units to assist ShijiazhuangHuanwang Heating Co., Ltd. in providing clean heatingservices by reducing the backwater temperature ofthe zero-side heating network in the long-distancetransmission network and increasing the heat transfercapacity of the zero-side network. This is of greatsigni?cance for raising heating e?ciency, improving airquality, and reducing pollution emissions.

16 sets of 60MW lithium bromide heat exchange units

The Company launched a "Training Course on Quantitative Management and Energy-Saving

Operation Control Technology for Heating Systems"

Training course on Quantitative Management and Energy-Saving

Operation Control Technology for Heating Systems

Under the global energy transition, the position of hydrogen energy in the strategic layout of countries around the world isincreasingly prominent. Against the backdrop of the vast space in the electrolyzer equipment market, the Company seized theopportunity and laid out its hydrogen energy business in advance, achieving success in the green electricity intelligent hydrogenproduction system from technical R&D to production implementation, and creating a new growth for the clean energy industry.Featuring low energy consumption, fast electrolyzer response rate, wide adjustable load range, and short hot and cold start-uptime, the Shuangliang Green Electricity Intelligent Hydrogen Production System independently developed by the Company is ableto maximize the e?ciency of green electricity usage while achieving water-saving operation.

Hydrogen Production with Green Electricity

New generation alkaline water electrolytichydrogen production system of ShuangliangThe new generation alkaline water electrolytic hydrogen productionsystem of Shuangliang brings a high-performance alkaline waterelectrolyzer. Starting from the research of core components such asdiaphragms, gaskets, catalysts, etc. in the electrolyzer, combined with anew nickel plating process and high electrode frame plate parallelismrequirements, and under the support of special control methods, thissystem witnesses a high performance, with a DC energy consumptionof 3.992 KW h/m3H2@2,500A/m2, a minimum operating load of 20%,a response rate of 10%/s, a hot start time of less than 10S, a adjustableload range of 20-200%, and a gas production capacity of up to 2000Nm3/h.Carrying a high standard gas-liquid separation device and gaspurification device with a processing capacity of 2,000 Nm3/h, theCompany has taken a solid step forward in the development of a safeand stable operation of high-performance hydrogen production systemwith green electricity.

In December 2023, the Company successfully held a"Training Course on Quantitative Management andEnergy-Saving Operation Control Technology forHeating Systems" in Shijiazhuang City. During thistraining course, experts and professors from well-knownuniversities such as Harbin Institute of Technology,Harbin Engineering University, and Beijing Universityof Civil Engineering and Architecture were invited tovisit projects including a large temperature differencerelay energy station and waste heat recovery, who hadacademic and technical exchanges and communicationwith the personnel of the Company, providing new ideasfor Shuangliang's energy-saving and carbon reductionsolutions with clean energy heating in terms of technicalroutes, system characteristics, economic benefits, andapplications, with a focus on low-carbon developmentto lead clean heating together.

Taking advantage of the "Belt and Road" initiative, the Company gathers industrial strength, and devotes itself to overseas industryand public construction construction relying on its high-end equipment manufacturing power in the ?eld of energy saving, watersaving and clean energy. With the "Pillars of a Great Power" made in China, the Company has won high recognition from customersin countries along the "Belt and Road", successfully promoting China's energy-saving, eco-friendly and clean energy to theinternational market.Shuangliang Eco-energy, as one of the earlier "going global" enterprises in China's machinery manufacturing industry,has ?rmly grasped the strategic opportunity from the "Belt and Road" initiative to help move the global energy saving,environmental protection and clean energy forward with Shuangliang features.

The Company participated in the "Belt and Road" CEO ConferenceIn October 2023, the Third "Belt and Road" Forum forInternational Cooperation was convened in Beijingaround the theme of "High-quality Belt and RoadCooperation: Together for Common Development andProsperity", attended by representatives from morethan 130 countries and more than 30 internationalorganizations. The chairman of the Company participatedin the "Belt and Road" CEO Conference, working toexpand international cooperation, deepen exchangesand mutual benefits, and promote the "Belt and Road"construction and enterprise development.

Chairman of the Company attended the Belt and

Road CEO Conference

The Belt and Road

Expanding Overseas MarketsAs a model in the overseas energy-saving markets, the Company held a top spot for the localbromine chiller in Pakistan, with a market share of over 50%. Owing to its strength in waste heatutilization technology, it further expanded into the international market.The Company has established a good brand image with the heavy-weight class power plantproject in Saudi Arabia and Dubai, set an overseas model with the world's largest combined-cycle power plant air cooling project in Egypt, achieved market expansion demonstration for thenon-thermal power generation project in Singapore, and accumulated intercooled steel towertechnology and experience in the field of thermal power construction through internationalunion of powers in Hungary.

Maintaining Brand Image

Witnessing E?cient Service

As a witness to the comprehensive strength of Chinese enterprises, the Company has brokenthrough the monopoly of the condenser market in Türkiye to achieve large-scale equipmentmanufacturing, demonstrated its ability to manage and deliver large projects through PTAcooperation in India, and provided meticulous after-sales support for customers throughoverseas service stations in Indonesia.

Shuangliang Eco-energy pays particular attention to factors that may have adverse e?ects on the environment, such as wastewater,exhaust gas, noise, and solid waste generated during production and operation, with great efforts made to manage themunder the framework of the ISO14001 environmental management system standard. Meanwhile, the Company has formulatedand implemented multiple rules and regulations, including theThree Simultaneities Management Rules, the EnvironmentalProtection Management Rules, theEmergency Plan for Accidental Discharge of Wastewater and Exhaust Gas, and theSolid WasteManagement Rules, in this regard. Every year, quali?ed third-party organizations are hired to monitor the Company's wastewater,exhaust gas, noise, dust, and other emissions, and the results are reported to relevant units, with strict pollution control measurestaken to safeguard our green earth.

Pollution Control - Safeguard Our Green Earth

In terms of its wastewater which can be divided into industrial one and domestic one, the Company has planned and constructedsewage pipelines and sewage treatment facilities in the factory area with dedicated persons assigned for their daily use andmaintenance, properly organizing the discharge of wastewater. During the reporting period, the Company's wastewater dischargecan be seen as follows:

Wastewater Management

Total wastewater dischargeton-840,477PH-

Class III Standard inSchedule 4 to theIntegrated WastewaterDischarge Standard

(GB8978-1996)

6—97.3CODmg/l500184.83Suspended solidsmg/l40064.33Petroleummg/l202.33Ammonia nitrogenmg/lClass B Standard inSchedule 1 to theWastewater QualityStandards for Dischargeto Municipal Sewers

(GB/T 31962-2015)

455.86

Total nitrogenmg/l7013.04Total phosphorusmg/l81.84

IndicatorUnitStandardReference Value2023

After neutralization and regulation tank,inclined-tube tube settling, and activatedcarbon filtration, 70% of it will be reusedin the phosphating process, and theremaining 30% will be evaporated by anevaporator.

After neutralization pretreatment, it will beconnected to the Xili Sewage TreatmentPlant of Guangda Water Treatment(Jiangyin) Co., Ltd. along with the domesticsewage pre-treated by septic tanks.

Wastewater with Nitrogen andPhosphorus

Wastewater without Nitrogenand PhosphorusWastewaterTreatment

Methods

During painting, sandblasting, phosphating and other processes in the Company, exhaust gases and dust may be generated, forwhich, the Company has equipped corresponding exhaust gas treatment facilities, and designated personnel to be responsible fortheir daily use and maintenance, to properly organize the relevant emissions. During the reporting period, the Company's exhaustgas emissions can be seen as follows:

Exhaust Gas Management

PMmg/m

Integrated EmissionStandard of Air Pollutants

(DB32/4041-2021)

2012.6

HCLmg/m

104.55

VOCmg/m

606.23

IndicatorUnitStandardReference Value2023

Solid waste generated by the Company mainly includes general waste such as iron filing and household waste, as well ashazardous waste such as waste oil paint barrels and phosphating sludge, with respect to which designated storage sites have beenset up by the Company for the proper management. As to hazardous waste, the Company signs agreements with quali?ed third-party agencies for uni?ed disposal.

Solid Waste Management

The noise of the Company mainly comes from equipment and hammering in various production workshops. During equipmentprocurement, production layout and equipment installation location selection, the Company considers the impact of factory noiseand boundary noise, with constant e?orts to improve production processes for reducing workshop noise, and equipment withexcessive noise updated and replaced in a timely manner.

Noise Management

Resource Conservation and Comprehensive UtilizationIn order to save resources and protect the ecological environment, the Company regularly carries out waste recycling and utilization.For various types of waste materials such as leftover materials, waste parts, scrap irons, iron ?lings, copper ?lings, and waste copperpipes generated during production and operation, storage sites are designated, and relevant agencies are arranged under agreementon recovery to promote resource recycling. During the reporting period, the Company processed a total of 9,950 tons of waste materialsthrough recycling.Di?erent exhaust gases will be treateddi?erently as appropriate to theirproperties. HCL will be emitted at highaltitudes after being treated with asecondary alkali spray. PM and NMHCwill be subject to high-altitude emissionafter being treated with "dry ?ltration +zeolite rotor + catalytic combustion" or"dry ?ltration + zeolite molecular sieve +catalytic combustion".

Classi?ed Treatment

The Enterprise Management Departmentis responsible for regular inspectionof exhaust gas emissions, while theEquipment Department for dailymaintenance, upgrading, and optimizationof equipment.

Regular Inspection and FacilityMaintenance/OptimizationExhaust Gas

Treatment

Methods

Solid Waste Treatment MethodsSourceReduction

FineProcess

TreatmentStandard

Developing comprehensiveutilization standards for solid wastereviewing the quali?cations of unitsreceiving solid waste.Reasonably selecting and utilizingraw materials for productionadopting advanced productionprocesses and equipmentorganizing environmentalprotection training activities

Classifying and setting sites forsolid wasteregularly maintaining productionequipmentsupervising solid waste dischargeprocess

Show Love andTake SocialResponsibilityAs a responsible enterprise, Shuangliang Eco-energyactively engages in the work and activities of buildinga beautiful and harmonious society, assumes socialresponsibility, and supports community development andpublic charity.

Blood Donation for Public WelfareCommunity Building and Service

Blood Donation for Public WelfareWith a sense of social responsibility, the Company organized a voluntary blood donation activity for public welfare. Through thisactivity, the Company can not only help patients with blood shortage, but also enhance the social responsibility awareness ofemployees, better spread positive social energy and show the good social image of the enterprise.

"Heart-warming Public Welfare" voluntary blood donation activityTo give love and gratitude to society, Shuangliang Eco-energy organized a voluntary blood donation activity in 2023. Asmobilized by the Company, employees actively participated in the activity, who orderly lined up in front of the blooddonation bus for detailed information registration, blood type testing, intravenous blood collection and other processesin sequence, to delicate their love. This activity helps widely publicize the signi?cance of blood donation. Blood donorsnot only use their blood to save the lives of their compatriots, but also advocate for the social trend of giving a helpinghand with their broad mindedness. Through this activities, employees have shown gratuitous dedication to society andothers, while sublimating their thoughts and making contributions to building a harmonious society.

Voluntary blood donation activity in 2023

Community Building and ServiceShuangliang Eco-energy takes an active part in ful?lling its social responsibility, goingdeep into the community through a series of public welfare activities, participating incommunity construction, and showing concern for vulnerable groups, to contributeto society. The Company actively undertakes its social responsibility and has beeninvolved in local construction, social welfare, environmental protection and ecologyover the years by establishing charitable volunteer teams and youth volunteer serviceteams, participating in such events as tree planting, charity sales, student assistanceand volunteer services, and regularly visiting Jiangyin Welfare House and otherwelfare institutions for activities. In economically underdeveloped areas such as InnerMongolia, Shaanxi, and Xinjiang, the Company has invested in the construction ofair cooling projects to support the stable operation of power enterprises there, drivelocal governments to develop industries of their features based on market demand,and help the unskilled poor to get jobs. Besides, the Company supported centralizedheating projects in Shanxi, Inner Mongolia, Lanzhou, Henan and other regionswith funds, equipment, and operation and maintenance services, making greatcontributions to ensuring heating services for people's livelihood in areas needingheat supply, and guaranteeing the safety and warmth of local people. Meanwhile,all of these conform to the characteristics of the circular economy for reduction,resource utilization and reuse, and are in line with the national green developmentstrategy, which helps save natural resources, reduce pollution emissions, improveeconomic bene?ts, and drive employment and economic development, with goodeconomic and social performances.

During the reporting period

The Company donated asum of RMB

to the

200,000

and a sum of RMB

to carbon-50,000

Education DevelopmentFund of Nanjing University ofTechnology at Jiangyin

neutral green enterprises inJiangyin City

Key Performance Table

2023年Governance PerformanceUnit2023Number of directorsperson8Number of independent directorsperson3Number of executive directorsperson5Number of General Meetings of Shareholders heldtime4Number of meetings of the Board of Directors heldtime15Number of meetings of the Board of Supervisors heldtime11

Environmental PerformanceUnit2023Comprehensive energy consumption per RMB10,000of revenue

ton of standardcoal/RMB10,000

0.15

Total wastewater dischargeton840,477PMmg/m

12.6

HCLmg/m

4.55

VOCmg/m

6.23

Environmental investmentRMB10,000188

Employee PerformanceUnit2023

Total number of employeesperson6,455Number of female employeesperson1,046Number of male employeesperson5,409Number of employees aged 30 and belowperson2,667Number of employees aged 30 to 39person2,489Number of employees aged 40 to 49person774Number of employees aged 50 and aboveperson525Labor contract signing rate%100Social insurance coverage rate%100Employee physical examination coverage rate%100Occupational health and safety investmentRMB10,0001,040.06

Economic PerformanceUnit2023

Operating incomeRMB100 million231.49Net pro?t attributable to the parent companyRMB100 million15.02Total assetsRMB100 million300.91

GRI IndexGlobal Sustainability Standards Board GRI Standards Index

The Organization and its Reporting PracticesG2-1Organizational detailsAbout This ReportG2-2

Entities included in the organization's sustainabilityreporting

About This ReportG2-3Reporting period, frequency and contact pointAbout This Report

Activities and WorkersG2-6

Activities, value chain and other businessrelationships

About This ReportG2-7EmployeesJoin Hands with Employees for Mutual Growth and Progress

GovernanceG2-9Regulatory structure and composition

Standardize the Governance Structure and Consolidate theFoundation of DevelopmentG2-10

Nomination and selection of the highest governancebody

Standardize the Governance Structure and Consolidate theFoundation of DevelopmentG2-14

Role of the highest governance body in sustainabilityreporting

Standardize the Governance Structure and Consolidate theFoundation of Development Strategy, Policies and PracticesG2-22Statement on sustainable development strategyMessage from the ChairmanG2-25Processes to remediate negative impacts

Ensure Compliance with Laws and Regulations, and ObserveBusiness EthicsPut Customer First, and Focus on ServiceG2-26Mechanisms for seeking advice and raising concerns

Ful?ll the Information Disclosure Obligations and MaintainInvestor RelationsG2-27Compliance with laws and regulations

Ensure Compliance with Laws and Regulations, and ObserveBusiness EthicsStakeholder EngagementG2-29Approach to stakeholder engagementAbout Shuangliang Eco-energy

Material TopicsG3-1Process to determine material topicsAbout Shuangliang Eco-energyG3-2List of material topicsAbout Shuangliang Eco-energyG3-3Management of material topicsAbout Shuangliang Eco-energy

Economic PerformanceG201-1Direct economic value generated and distributed

Manage and Assure QualityAdhere to Scienti?c Research and Innovation for High-QualityDevelopmentSupply Chain ManagementG201-3

De?ned bene?t plan obligations and otherretirement plans

Employee Compensation and WelfareIndirect Economic ImpactsG203-2Signi?cant indirect economic impacts

Put Customer First, and Focus on Service

Industry-Academia-Research Cooperation

Joint Progress with Peers

Blood Donation for Public WelfareAnti-competitive BehaviorG206-1

Legal actions for anti-competitive behavior, anti-trust, and anti-monopoly practices

Ensure Compliance with Laws and Regulations, and Observe

Business EthicsMaterialsG301-2 Recycled input materials usedManage and Assure Quality

InterpretationGRI IndicatorsRelevant Section

Reader Feedback Form

Dear readers,

Greetings！Thank you very much for taking the time to read the 2023 Environmental, Social and Governance (ESG) Reportof Shuangliang Eco-energy Systems Co., Ltd.. In order to provide you and other stakeholders with more valuableinformation and effectively promote our ability and level of performing social responsibilities, we sincerely lookforward to your comments and suggestions.Multiple Choice Questions (Please tick√ as appropriate)

9.Do you think the content arrangement and design of this Report are easy for reference?

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2.How do you think of the response to and disclosure of issues concerned by stakeholders in this Report?

3.How do you think Shuangliang Eco-energy has done in terms of economic responsibility?

4.How do you think Shuangliang Eco-energy has done in terms of environmental responsibility?

5.How do you think Shuangliang Eco-energy has done in terms of safety management?

6.How do you think Shuangliang Eco-energy has done in terms of employee responsibility?

7.How do you think Shuangliang Eco-energy has done in terms of community responsibility?

8.How do you think of the clarity, accuracy and completeness of the information, indicators and data disclosed in this Report?

Open QuestionsDo you have any comments or suggestions on the performance of social responsibilities by Shuangliang Eco-energy and this Report?

G301-3Reclaimed products and their packaging materials

Manage and Assure QualityPollution Control - Safeguard Our Green EarthG302-1Energy consumption within the organization

Energy Management - Promote Energy Conservation andCarbon ReductionG302-4Reduction of energy consumption

Energy Management - Promote Energy Conservation andCarbon ReductionG302-5

Reductions in energy requirements of products andservices

Energy Management - Promote Energy Conservation andCarbon ReductionWaterG303-2Management of water discharge-related impactsPollution Control - Safeguard Our Green Earth

WasteG306-1

Signi?cant impacts from waste generation andrelated to waste

Environmental Management - Build a Green EnterprisePollution Control - Safeguard Our Green EarthG306-2Management of signi?cant impacts related to waste

Environmental Management - Build a Green EnterprisePollution Control - Safeguard Our Green EarthG306-3Waste generatedPollution Control - Safeguard Our Green EarthG306-4Waste transferred from disposal

Environmental Management - Build a Green EnterprisePollution Control - Safeguard Our Green EarthG306-5Waste for disposal

Environmental Management - Build a Green EnterprisePollution Control - Safeguard Our Green EarthSupplier Environmental AssessmentG308-1

New suppliers that were screened usingenvironmental criteria

Supply Chain ManagementEmploymentG401-1New employee hires and employee turnoverEmploymentG401-2

Bene?ts provided to full-time employees that arenot provided totemporary or part-time employees

Employee Compensation and WelfareOccupational Health and SafetyG403-1Occupational health and safety management systemEmployee Health and SafetyG403-3Occupational health servicesEmployee Health and SafetyG403-4

Worker participation, consultation, andcommunication on occupational health and safety

Employee Health and Safety

G403-5Worker training on occupational health and safetyEmployee Health and SafetyG403-6Promotion of worker healthEmployee Health and Safety

Training and EducationG404-1Average hours of training per year per employeeEmployee TrainingG404-2

Programs for upgrading employee skills andtransition assistance programs

Employee TrainingSupplier Social AssessmentG414-1

New suppliers that were screened using socialcriteria

Supplier ManagementPublic PolicyG415-1Political contributionsCommunity Building and Service

Marketing and LabelingG417-1

Requirements for product and service informationand labeling

Manage and Assure QualityCustomer PrivacyG418-1

Substantiated complaints concerning breaches ofcustomer privacy and losses of customer data

Put Customer First, and Focus on Service

2023年InterpretationGRI IndicatorsRelevant Section